Is The Collapse, Happening Now?
Biotech SPBIO, opened lower and has continued lower throughout the day (with 30-minutes left).
Yesterday, this post showed a potential trading channel. Today’s lower action (higher with inverse LABD) appears to confirm the channel.
We need to be mindful though; events are unfolding rapidly at this point.
We’re just minutes away from market closure and going into the weekend … does anyone really want to be positioned long? (not advice, not a recommendation).
With that in mind, the daily chart of biotech leveraged inverse fund LABD, is shown below with a compressed scale.
The first chart has yesterday’s trading channel.
The second chart is the one of concern.
Biotech SPBIO, Leveraged Inverse LABD, Daily Close
Yesterday’s trading channel
New, potentially more aggressive channel
We’ll get more information on Monday to see if this new channel is in-effect.
There are still about 30-minutes left in the session and anything can happen.
Either way, we’ve already seen the markets ‘lock-up’ with bad quotes, brokerage outages and ‘disappearing‘ bank accounts.
Let’s see what happens next.
Charts by StockCharts
Note: Posts on this site are for education purposes only. They provide one firm’s insight on the markets. Not investment advice. See additional disclaimer here.
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