Biotech HOLDRS (AMEX: BBH) Headed Lower Says Market Timer Frank Kollar
July 11, 2007 (FinancialWire) (By Frank Kollar)
The exchange-traded fund Biotech HOLDRS (AMEX: BBH) bounced off the 61.8% Fib support level two weeks ago. Since then, the hoped for reversal and rally has not materialized even while the rest of the stock market has been strong. With core positions in Genentech (NYSE: DNA), Amgen (NASDAQ: AMGN) and Biogen (NASDAQ: BIIB), what happens next to this widely traded ETF?
When Biotech HOLDRS bounced off support on June 27th, there was a quick two-day rally. The lack of a continued advance was bearish and during the first week of trading in July shares are losing ground again. The next stop will be support at about $162.00. If it fails to hold the decline, look for Biotech HOLDRS to reach $148.41 in coming weeks.
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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