Meanwhile, On The Other Side …

While the SOXX fights it out between bulls and bears, biotech XBI, has quietly penetrated resistance … and stopped.

Price action’s currently hovering above resistance in a narrow range.

The prior update showed the likely outcome for a spring-to-up-thrust target.

It’s arguable that we’re here now (not advice, not a recommendation).

Biotech XBI Daily

The upside penetration is not all that convincing.

That could be good or bad depending on one’s viewpoint.

Is there no more energy left or is the XBI just hesitating before moving higher?

If we pull back to the longer, weekly timeframe and recall, all of this action may be just a ‘test’ of a larger (timeframe) up-thrust.

That marginal energy would correlate with limited upside during a potential breakout (not advice, not a recommendation).

Stay Tuned

Charts by StockCharts

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The Danger Point®, trade mark: No. 6,505,279