Biotech HOLDRS (AMEX: BBH) At Critical Support Says Market Timer Frank Kollar
March 14, 2007 (FinancialWire) (By Frank Kollar)
The exchange-traded fund Biotech HOLDRS (AMEX: BBH) closed at $174.28 Tuesday, just above critical support at the Fib 78.6% retracement level. With core positions in Genentech (NYSE: DNA), Amgen (NASDAQ: AMGN) and Biogen (NASDAQ: BIIB), Biotech HOLDRS could be ready to move considerably lower.
If Biotech HOLDRS closes decisively below $174.23 in coming days, expect further declines to the prior May-June 2006 lows at $168.00. Should $168.00 not stop the selling the next long term support level is all the way down at $162.00.
The Fibtimer.com (http://www.fibtimer.com) ETF Timing Strategy holds a position in Biotech HOLDRS .
Kollar’s research has shown that the financial markets are in tradable trends approximately 80 percent of the time. FibTimer strategies define trends and trade them in both advancing and declining markets. Caring nothing about what newscasters say or what the latest economic indicator predicts, trends are where the profits are, and that is where FibTimer is.
Kollar is editor and chief analyst at FibTimer.com (http://www.fibtimer.com) which offers market timing strategies for S&P and Nasdaq index fund traders, as well as bond, gold, small cap, sector, ETF and stock trading strategies.
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