Category Archives: LABD-25-05

While The Market Panics

April 4, 2025 By in $SPSIBI, Biotech, Dr. Elder, GDX, GDXJ, Gold & Silver, Gold Miners, LABD, LABD-25-05, Positions, SILJ, SPBIO, XBI

‘Closing Positions’

We’ll cut straight to the chase.

The biotech short LABD-25-05, has been closed: Profit on the main position is +61.25% (not advice, not a recommendation).

While the market is hysterical, price action in XBI, indicates the current down move is losing (some) energy, hence the reason for the exit.

Biotech XBI, Daily

Exit was made at the lower channel line (demand line) contact.

The market could certainly continue lower from here.

However, from past experience and watching huge profits erode to only mediocre results, the same mistake is not being presented here (not advice, not a recommendation).

Meanwhile, the gold miners don’t look like the safe haven everybody thought they were.

Update on that, later.

Stay Tuned

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.

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

Markets Implode !

April 3, 2025 By in $SPSIBI, Artificial Intelligence, Biotech, GDX, GDXJ, GLD, GLL, Gold & Silver, Gold Miners, LABD, LABD-25-05, Livermore, Positions, Semiconductors, SILJ, SOXX, SPBIO, XBI

Is This It?

Those on this site daily, knew something was about to happen in a big way.

It was just, when.

Now, markets are volatile if not imploding.

Nearly all sectors reversing at once.

As of this post (10:55 a.m., EST), some of those are attempting to recover (GDX, GDXJ, SILJ) with others down hard (not advice, not a recommendation).

There were plenty of clues:

Massive volume increase in GLL, strange activity in biotech, then resignation at the FDA, failure of NVDA to get back to a 50% retrace, the list goes on.

As mentioned yesterday, one sector that’s continuing lower is biotech, XBI.

Biotech XBI, Daily

There may be several trading channels in effect. Only the most aggressive (so far) is shown.

Note the locations of short positioning via LABD (not advice, not a recommendation).

As of this post, the initial LABD short, entered on March 25th, is up over +40%.

Going Forward

So, what happens now?

For this trade, Livermore said it best (paraphrasing):

Position on the right side of the market (the correct direction), then wait.

Stay Tuned

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.

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

Carvana Hits Target … After-Hours

April 2, 2025 By in $SPSIBI, Biotech, CVNA, LABD, LABD-25-05, Positions, SPBIO, XBI 1 Comment

That Makes ‘Twice’

That’s two times in a row, Carvana hit a target area (presented on this site) in the after-hours session.

The last time was here, CVNA printed 310, in the after-hours on February 19th.

Then, just hours ago, price action thrust higher into the zone in this post, printed at 243.6, then collapsed.

We never got to ‘Day 34’.

However, the real story may be in biotech XBI, with huge swings in both directions; currently (as of 6:35 p.m., EST) trading below today’s regular session low.

Charts to follow.

Stay Tuned

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.

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

Biotech Craters on FDA News

April 1, 2025 By in $SPSIBI, Biotech, Bloomberg, LABD, LABD-25-05, Positions, SPBIO, Wyckoff, XBI, ZeroHedge

Someone, Always Knows, Something

One week ago today, was this (emphasis added):

If the trendline is in-effect, meaning the market’s hanging in mid-air in a false breakout, getting back into that trend may result in some dramatic downside action.

Well, we got the dramatic downside.

Biotech XBI, collapsed nearly -11%, and 3X Inverse Fund LABD, is up +38%, and climbing.

As Wyckoff said a century ago:

‘Someone always knows something … and that ‘something’, shows up on the tape.’

It turns out in this case, showing up on the tape, was this, and this.

Biotech XBI, Daily

The chart from the week-ago post, has been updated.

As is typical, the ‘reason’ for last week’s price action comes out later, after the fact.

Positioning

At this point, trade LABD-25-05, is being maintained (not advice, not a recommendation).

Stay Tuned

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.

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

Biotech’s … ‘Axis of Six’

March 27, 2025 By in $SPSIBI, 2007 - 2008, Biotech, LABD, LABD-25-05, Positions, S&P, S&P 500, SPBIO, SPY, XBI 1 Comment

A Number Recurring Trough Time

You’ll have to judge for yourself if the chart with closing numbers and axis line, are of importance.

As a reminder, let’s not forget where the S&P bottomed, in 2009.

‘The S&P hit a low of 666, intraday’

With that, this update will be brief.

Biotech Sector Index, SPBIO, Daily Close

We’re using the actual index (SPBIO) and not the XBI, ETF, typically traded as a proxy.

After hours (as of 6:53 p.m., EST) has the ETF, XBI, trading unchanged to slightly lower.

Stay Tuned

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.

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

Biotech Breakout ‘Uncertainty’

March 25, 2025 By in $SPSIBI, Biotech, Ed Dowd, Greg Hunter, LABD, LABD-25-05, Positions, SPBIO, XBI 2 Comments

No-Man’s Land

The markets don’t like uncertainly and that’s just what we have with biotech.

As the chart shows, the question becomes; is it a trend breakout, a breakout and test or a breakout, test, then possible failure?

This interview with Ed Dowd just days ago, paints a bearish picture for the overall markets.

If so, and we apply that scenario to biotech, the odds don’t seem to favor the upside (not advice, not a recommendation).

With that, let’s get to the action.

Biotech XBI, Daily

Last Friday, the 21st, was Fibonacci Day 89, from the November 11th, 2024, highs.

If the trendline is in-effect, meaning the market’s hanging in mid-air in a false breakout, getting back into that trend may result in some dramatic downside action.

On the bullish side, if it’s an upside breakout, ‘normal’ behavior is for a ‘test’ of the trendline.

Either way, both scenarios favor more downside (not advice, not a recommendation).

Stay Tuned

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.

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