Biotech … Downside Ready

March 18, 2026 By in $SPSIBI, Biotech, Federal Reserve, SPBIO, XBI 3 Comments

Trading Channel

Biotech is one of those sectors that’s been elusive, hard to pin down.

The last update was in January, link here.

Note: that update identified the exact high (so far), for the sector; shown as ‘Day 1’, in the chart below.

Since then, it’s been what looks like mindless, sideways congestion; until yesterday, and today.

Before getting to the chart, recall there’s a Fed announcement coming up.

That may bring volatility, or it could be much ado about nothing.

Biotech XBI, Daily

There have been two contact points on the right side (supply side) of the channel; the most recent, during yesterday’s session.

As of this post, there are no short positions (not advice, not a recommendation).

Stay Tuned

Charts by StockCharts

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

3 responses

  1. I just wanted to drop in to say that I’m paying close attention to Corn. More big volume bars are being printed. Something’s going on there. Sugar is also breaking out.

    Liked by 1 person

    • Yes,

      Gold and silver lower, while the stuff that actually sustains life, is higher.

      Corn futures and the CORN tracking fund could launch from here. It may be that we already had the slam lower with the so-called crop forecast back on January 12th. At least that’s how I looked at it.

      In my opinion, using weather ‘forecasts’ at this point in the game is almost laughable. Note how quickly the UNG trade was there, and then, not. Most up in history and then most down in history as well (if memory serves). They made their money and now, on to the next thing. 🙂

      Thinking the cold spell early this year was ‘normal’ borders on denial at best.

      Here’s a link just out that helps further that dialog along: https://www.youtube.com/watch?v=7EJv04PuoI4

      Of course, I have many other references, but most if not, all have been deplatformed from YouTube.

      The CORN chart looks good … almost gave up (the short side) and went long … but after sitting back a bit, I think I’ll stick with the downside (not advice).

      Since we seem to have a lot of ‘truths’ coming out, one has to wonder which one is next?

      Thanks for the input. Appreciate the help.

      Paul

      Liked by 1 person

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