Amgen’s the heavy hitter, the leader in the biotech sector. It’s by far the largest cap equity in the IBB, ETF.
Right now, AMGN is pushing down through support; confirming a down trend that essentially started on July 28th, last week.
At this juncture, AMGN price action’s at the danger point. It can go either way with a confluence of orders; buy, sell, and sell-short.
If the trend-line (chart below) is not broken to the upside, AMGN is moving lower at a whopping -90%, on an annualized basis.
As stated, the firm sponsoring this site is heavily short in this sector; increasing the short position on a near daily basis.
Obviously, this is not a recommendation. We can’t do that as stated in the disclaimer below and here as well.
The inverse fund BIS, that’s being used to position short as with other inverse ETF funds can blow up (or fail) unexpectedly. We’re well aware and cognizant of the conditions under which that type of anomaly may occur.
At this point, BIS is ‘well behaved’. However, BIS may be exited at any time and without notice.
By this time it should be quite evident that we (U.S. citizens) and the rest of the world are smack-dab in the biggest, most dangerous farce in world history.
Anyone with two synapses rubbing together can see there is ‘no scientific evidence of anything’, stated at time stamp 9:22, in this link.
If or when the truth-cork finally pops out of the bottle for all to see, it’s too late. The emperor has no clothes. That emperor is biotech.
Recognize in the markets, anything can happen. It’s possible and likely probable another false narrative will be launched to manipulate the weak. The current narrative is losing effectiveness. If so, the next one has to be even more outlandish.
Alien invasion anyone?
Back to biotech. If AMGN breaks its trend to the upside, the reversal scenario is either negated or modified.
Trend-line break or not, there’s a false narrative at play. Those not able to see and those not willing to take action, risk being swept away with the tide.
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.