IBB
It held the upper support posted here over weekend/early morning Monday. It penetrated but bounced quickly, came back and penetrated a bit more, and then IBB went green. IBB came back one last time and went red midday before rallying to the close. I tend to use iPad during day with different settings than computer. Checking out the daily chart, IBB also bounced at the confluence of the 8/13/21 day EMAs. All in all, this bounce has a real good chance. The 50 SMA is down about 5% near 260 FYI. We have room to 315 to hit the 200 SMA. Overall, there will be lots of resistance points on way up, 290 being toughest, then 300 also. 290 is a trading formation point (low from before final set of declines) and 300 is the double bottom target.
XBI
It started its decline from the 50% retracement of the last big fall into its yearly lows (72 to 44). It is sitting now on the 38.2% retracement of that fall - just below so resistance now. There are a cluster of targets around low 60s. We bounced off the 23% retracement of an earlier rally from early March and stopped between the 50/61.8% retracement of recent rally.
It also bounced opened at the 8 EMA, went below the 13 EMA and stopped near the 21 EMA before closing above all EMAs. The 50 SMA is 9% lower (vs. 5% for IBB despite worse treatment in this correction of XBI) and the 200 SMA is at 66, exactly 20% higher.
ABBV
Since I mentioned buying this, I thought I should give a picture. It closed right on its 200 SMA today and hit 100% retracement of 2 separate moves from this level down late last year into early this year. Next targets likely 64 area of November highs. Also spent time there in Aug/Sept. Magnet? Extensions of the rally show 62/62.5 and just shy of 65 as targets.
Jon |
