Mish’s Daily: Big Brother Biotechnology Sector Revives

4 months ago 251 views 5 min read

Michele “Mish” Schneider

Director of Trading and Education

MarketGauge.com

Mish’s Daily: Big Brother Biotechnology Sector Revives

Written by Michele ‘Mish’ Schneider

Over the weekend as we looked at the entire Economic Modern Family, we focused on Big Brother Biotechnology IBB as particularly intriguing.

We wrote:

“IBB sits just below the 200-WMA. Plus, he is in the middle of the weekly channel range. Furthermore, back in May, IBB handily cleared above the 50-WMA.

We have eyes here next week as the weekly close was solid and IBB could hit 140or higher.”

Monday, IBB gapped higher.

IBB hit 140.

Now, we give it fresh eyes to see what should happen next so that this is not a one-day wonder.

On the Daily chart, IBB cleared the January 6-month calendar range high for the first time since February 2024.

That February high was 141.16.

If IBB can clear that level, it will go to a new multiyear high as this has underperformed the benchmark since late 2021.

The Daily chart also indicates that IBB may begin to outperform SPY.

Plus, momentum is picking up according to Real Motion.

If we move out in timeframe, the weekly chart (the one shown over the weekend) also tells us a story.

The weekly chart shows IBB clearing the 200-WMA (green).

While on this timeframe, IBB is neither outperforming the benchmark nor wowing us with momentum, today’s action is a great first step.

Should IBB hold over 140 as the week and end of the month progresses, we see a potential $20 move up from here.

Meanwhile, here are the top 10 stock holdings in the IBB basket:

Educational purposes only, not official trading advice.

For more detailed trading information about our blended models, tools, and trader education courses, contact Rob Quinn, our Chief Strategy Consultant, to learn more.

Traders World Fintech Awards

Get your copy of “Plant Your Money Tree: A Guide to Growing Your Wealth”

Grow Your Wealth Today and Plant Your Money Tree!

“I grew my money tree and so can you!”- Mish Schneider

Mish in the Media

Benzinga Pre-Market Prep Mish covers the inside sectors, what to buy and where plus some key picks 06-24-24

Schwab Network with Nicole Petallides Mish covers the Modern Family, rising electricity demand and some picks to consider 06-21-24

Singapore Breakfast Bytes Radio Mish goes through electricity demand and which commodities to watch 06-20-24

Making Money with Charles Payne Down to basics on what would sell the market off 06-19-24

Phoenix TV China Will the Election impact Bitcoin? 06-18-24

Stockpick.app A look at the premium content with specific levels to watch in one index and 3 key sectors 06-17-24

Mario Nawfal Spaces-Post FOMC-lots of content 06-12-24

Stockpick.app Mish does a deep dive into several commodities and how to trade each one with fundamentals and technical-in order to see more of these videos that Mish does weekly, please consider subscribing to the app 06-10-24

Coming Up:

June 24 CNA Asia

June 27 Live coaching

July 2 Yahoo Finance

July 9 StockchartsTV

July Date TBD Wealth 365

Weekly: Business First AM, stockpick.app

ETF Summary

S&P 500 (SPY) 5400 support

Russell 2000 (IWM) 197-202 tightest range to watch

Dow (DIA) 40k resistance

Nasdaq (QQQ) 474 support