Category Archives: TDA-LABD-22-02

Biotech, Test-In-Progress

July 26, 2022 By in $SPSIBI, Biotech, LABD, LABD-22-05, Positions, SPBIO, TDA-LABD-22-02, Wyckoff, Wyckoff Stock Market Institute 1 Comment

By The Book

With about 40-minutes left in the session, biotech SPBIO, appears to be completing a test of its downside reversal.

Prior updates have shown the potential for a massive trading range; right along with a very weak reversal at Fibonacci 23.6%.

We’ve happened to locate a short video from the Wyckoff Stock Market Institute, detailing the nuances of Wyckoff spring action.

That video is linked here.

Watch the video and then look at the chart of leveraged inverse fund LABD, below.

SPBIO, 3X Leveraged Inverse LABD, Hourly Chart

If the test has competed, we can expect a swift LABD rally (spring) to the upside (down for SPBIO).

Summary

The potential for a significant down-move in SPBIO, has already been covered.

Reference updates linked here, here, and here.

If this is a move of major significance, we’re still in the very early stages.

Positions have already been established; LABD-22-05, TDA-LABD-22-02 (not advice, not a recommendation).

SPBIO itself, will define the next course of action.

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: Before The Open

July 21, 2022 By in $SPSIBI, Biotech, GLD, GOLD, LABD, LABD-22-05, Positions, SPBIO, TDA-LABD-22-02, Wyckoff 1 Comment

Last Session’s Record Volume

Depending on today’s action, yesterday may have been a ‘changing of hands’ for biotech; specifically, the leveraged inverse fund LABD.

We’ll start first with the longer time frame; the weekly, to show that SPBIO is at or near a Fibonacci 23.6% retrace.

Biotech SPBIO, Weekly

Looking just to the left of the right-side action we see a significant congestion area that’s highlighted below.

Note how price action has oscillated around that area.

It’s about three-months at this level before breaking lower and now, coming back to test.

The resistance is significant.

Next, is the inverse fund’s daily chart and the record volume.

SPBIO Leveraged Inverse LABD, Daily

Depending on today’s action, this is a potential ‘changing of hands’ from weak to strong.

We saw that such volume in the gold market (GLD) was indeed an infection point.

Concerning gold (GLD), back on March 20th, the report linked here, had this to say:

“From a Wyckoff, tape-reading approach, we have to trust what the chart is telling us.

That is, gold has reversed.”

How true that was. GLD never looked back and is now down around – 18%, from its highs.

The same could be happening for biotech.

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 … Good News, Bad News

July 20, 2022 By in $SPSIBI, Biotech, LABD, LABD-22-05, Positions, SPBIO, TDA-LABD-22-02 1 Comment

Reversal, Finally Here

The good news for the bears and the shorts; this morning’s action was probably the final push higher for biotech SPBIO.

The bad news; if that’s the case (a reversal) and the right-side trend-line has been verified, it could be the very beginning stages of a massive collapse.

It’s about midway through the day’s session. The leveraged inverse fund LABD, is printing a repeating characteristic that identifies a reversal.

Biotech SPBIO 3X Leveraged Inverse LABD, Hourly

This is how it looks around 12:50 p.m., EST with no mark-up.

Next, we’re going to zoom in on two areas of interest. A previous reversal and the apparent reversal in progress.

The price action is near identical.

First a false reversal that’s followed by the real one. That’s where we are now with today’s action.

Summary

A follow-up post using the weekly time frame is due out before the session open tomorrow.

All short positions remain active (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 Liquidation Sale

July 18, 2022 By in $SPSIBI, Biotech, LABD, LABD-22-05, Positions, SPBIO, TDA-LABD-22-02, TDA-YANG-22-01, The Speck 2 Comments

Won’t Know For Sure, Until It Hits Bottom

Watching and waiting for the downside reversal; looks like it’s here.

With about thirty-minutes left in the session, biotech SPBIO, is printing a reversal bar.

It’s not just the reversal that’s important but we could also be on the right edge of a massive trading channel.

Biotech SPBIO, Daily

It’s hard to see what’s really going on until we compress the channel and look at the possibility.

It doesn’t seem real.

However, we all have to realize we’re in uncharted (literally) territory.

If this sector begins a significant decline, that’s when to expect “bad news” coming out in the mainstream … likely to accelerate the downdraft.

Positioning

The short position in FXI (via YANG) was closed out (TDA-YANG-22-01) at 10.64, with a 15.4%, gain.

A new position was opened in LABD @ 25.80, as LABD was reversing off the session lows (not advice not a recommendation).

Trade identified as TDA-LABD-22-02.

The original LABD-22-05, was maintained, still active.

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