<< I think tax loss selling has been finished for a while. >>
Most of the trading, that has chased biotechs down towards their 52 week lows, has been small trades. To me, it looks like the big money is staying away, for now, and letting the tax selling have it's way. Are the funds, MM's and insurance companies, etc., just nibbling away, or waiting in the wings? Who knows!?
Buts....... I agree with you. It appears that the tax loss selling is slowing, or, new "retail" money coming into the market is compensating for the tax loss selling. Biotechs usually are, IMHO, positively effected by low interest rates. Right now, financing is as cheap as it gets.
With biotechs at these bargain, basement prices, perhaps we get the "Mother of all Biotech rallies" next year. At least we can hope, right?
Regards and best of the holidays,
Bob |
