Connecting to LinkedIn...



Technical Analysts See Bullish Signs for Biotech ETFs

6/06/2014 by


After a sharp sell-off in March and languish trading through May, the biotechnology sector and related exchange traded funds are looking to break out.

The iShares Nasdaq Biotechnology ETF, which tracks biotech and pharma stocks on the Nasdaq, fell 9.6% over the past three months, but the ETF is up 1.6% over the past week and 6.3% higher over the last month. Last week, IBB broke above its 50-day moving average.

Ed Ponsi, managing direction of Barchetta Capital Mangement, pointed out that IBB’s break above its short-term resistance level, the first time since March, was a bullish indicator, reports Lee Brodie for CNBC.

Furthermore, Ponsi noted that IBB broke out of a symmetrical triangle pattern that has formed for weeks. The symmetrical triangle pattern is recognized by its distinct triangle shape formed by two converging trendlines that connect recent peaks and troughs.

IBB’s symmetrical triangle pattern showed its trendlines converged around $231 per share – IBB currently trades around $245 per share. The two trendlines act as barriers on prices increases and decreases, but when the price breaches one of these lines, a sharp move typically follows. Currently, the ETF is breaking out on the bullish side.

Looking at individual picks, Ponsi argued that biotech firms like Celgene and big pharma Regeneron are also showing bullish chart patterns.

“That would mean the monster sell-off has created some terrific buying opportunities,” Mad Money’s Cramer noted in the article. “I think Ponsi is dead right.”

This article has been extracted from, please click on this link to read the article in full

Montash is a multi-award winning, global IT recruitment firm. Specialising in permanent and contract positions across mid-senior appointments which cover a wide range of industry sectors and IT functions, including:

ERP, BI & Data, Information Security, IT Architecture & Strategy, Scientific Technologies, Demand IT and Business Engagement, Digital and E-commerce, Infrastructure and Service Delivery, Project and Programme Delivery.

With offices based in London, Montash has completed assignments in over 30 countries and has appointed technical professionals from board level to senior and mid-management in permanent and contract roles.

comments powered by Disqus

Social Stream

Latest News


SAP announces partnership with STC

2016-10-25 10:00:00 +0100

One of the world’s leading providers of enterprise resource planning (ERP) solutions, SAP, has revealed that it is partnering with STC Advanced Solutions to offer both private and public sector organisations more empowerment. The two firms will be working alongside one another to provide cloud-based subscription services to firms of all sizes. This will help to deliver better information communication technology (ICT) across the Kingdom of Saudi Arabia....


Humans remain largest security flaw in cloud ...

2016-10-21 14:00:00 +0100

With a vast number of companies moving some, if not all, of their operations to the cloud, security continues to be of major concern. Whilst there are numerous patches and firewalls to safeguard defences, it has been highlighted that the most difficult area to protect against is human interaction. This is the view of Jamie Woodruff, a penetration tester and ethical hacker. Woodruff’s views come after he was contracted to conduct a penetration test in or...