UPDATE ON BIOTECH BEAR ETF LABD $LABD $LABU $PPH $PJP $PFE $JNJ $MRK $BMY $BBH $IBB $XBI

UPDATE ON BIOTECH BEAR ETF LABD $LABD $LABU $PPH $PJP $PFE $JNJ $MRK $BMY $BBH

This post was just published on ZYX Buy Change Alert.

In our divided country there are very few things on which Republicans and Democrats, liberals and conservatives agree.  One of those very few things is that drug prices are too high.  It makes no sense for Americans to often pay ten times more for a drug than Indians and Chinese.  The premise behind the trade was that with Trump’s leadership, the pharmaceutical  lobby would not be as influential as it has been in the past.  This premise is turning out to be at least partially correct.  However pharmaceutical and biotech stocks continue to levitate.  Why?

LABD is an inverse ETF, it will go up when pharmaceuticals and biotech go down.

Stock market is like a beauty contest where beauty is in the eyes of the beholder.  In this case, judges are big institutions. Big institutions behave like sheep.  Right now the sheep have decided that Trump will fail as a leader in brining drug prices down.

It is worth noting that the Wall Street herd can quickly change direction.

Trump is taking another shot at the healthcare bill.  Outlines of the proposed bills we have seen do not include drug pricing.  Emphasis is on a symbolic repeal of Obamacare.

Trump says drug prices will be included in phase two.  Phase two is not likely until 2018 but the market is likely to start moving about six to nine months in advance.

What To Do Now

Those in LABD may consider reducing the maximum position size in small increments on favorable up moves from a maximum of 25% to a maximum of 15%.

Those not in LABD may wait for a signal on the Real Time Feed.

You are receiving less than 2% of the content from our paid services …TO RECEIVE REMAINING 98%, TAKE A FREE TRIAL TO PAID SERVICES.

Please click here to take advantage of a FREE  30 day trial.

Check out our enviable performance in both bull and bear markets.

FREE: SUBSCRIBE TO ‘GENERATE WEALTH’ NEWSLETTER

Related Posts

WEEKLY STOCK MARKET DIGEST: FINALLY SOME INVESTORS GETTING CONCERNED ABOUT THE FED, RED HOT HOUSING MARKET COOLS $SPY $DJIA $DIA

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

HOW WILL STOCK MARKET AND GOLD REACT TO TRUMP’S NEW ANNOUNCEMENT OF CORONAVIRUS BREAKTHROUGH? $AAPL $AMZN $NVAX $AAL $CCL $BNTX $MRNA $PFE $INO $ZM

This is what you will need to know today. Trump will announce at 6:00 pm ET a breakthrough therapeutic for coronavirus.  ...

WEEKLY MARKET DIGEST: GOLD AT RECORD HIGH AS INVESTORS MOVE TO PROTECT STOCK MARKET PORTFOLIOS $DJIA $SPX $QQQ $GLD $SLV $USO $GDX $AZN

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

VACCINE IS GOOD FOR EVERYBODY BUT NOT FOR YOUR FAVORITE STOCKS $INO $PFE $NVAX $NIO $MRNA $AZN $TSLA $AMZN $DIA $DJIA $FSLY $PTON $ZM $DOCU $MSFT $GOOG $NFLX

We all want a safe and effective vaccine for the coronavirus. Certainly one or more effective vaccines will be good ...

WEEKLY MARKET DIGEST: A BREAK ABOVE THE UPPER BAND, RECORD COMPLACENCY AMONG TRADERS $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

WEEKLY MARKET DIGEST: BACKWARD LOOKING STRONG JOBS NUMBER REINFORCES THE NOTION — STOCKS ONLY GO UP $DIA $GLD $QQQ $SLV $SPY $TBT $USO $PFE $MJ $MRNA

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

POLITICIANS SET UP THE STOCK MARKET FOR A JULY FALL — MORE BORROWING AND MONEY PRINTING AHEAD $CCL $AAL $DIA $SPY $SPX $PFE $BNTX $NVAX $MRNA $INO

The stock market has been detached from economic reality. Investors, drunk with “hopium,” bored at home and unable to bet ...

WEEKLY MARKET DIGEST: POTENTIAL VIRUS MUTATION, CHINA HONG KONG POWER GRAB CHALLENGES TRUMP – STOCK MARKET OBLIVIOUS $DIA $GLD

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

VACCINE SUCCESS MAY UNLEASH THE SECOND LEG OF THE FORCE TO PROPEL THE STOCK MARKET TO NEW HIGHS $JNJ $PFE $MRNA $NVAX $INO $SRNE $DIA

Many investors not familiar with the mechanics of short squeezes are confused by the strength of the stock market rally ...

INVESTORS PREPARE NOW FOR MASSIVE NEW OPPORTUNITIES AS CORONAVIRUS RESHAPES THE ECONOMY $SPG $KIM $FRT $MSFT $AMZN $INTC $SMH $XBI $IBB

The Federal Reserve on Thursday unveiled an unprecedented $2.3 trillion program to support the economy. New jobless claims, announced on ...

WEEKLY MARKET DIGEST: BUYING OPPORTUNITIES – WILL THE ‘MOTHER OF SUPPORT ZONES’ IN THE STOCK MARKET HOLD? $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

STOCK INVESTORS ARE TOO OPTIMISTIC — THEY’RE RUNNING UP ABBOTT, JOHNSON & JOHNSON AND GENERAL MOTORS WITHOUT DOING ANY RESEARCH $ABT $DIA $GM $JNJ $MDT $SPX $DJIA

We all want the coronavirus to die off. It is the government’s job to spin reality to keep up the ...

WEEKLY MARKET DIGEST: 400 MILLION PEOPLE NOW ON LOCKDOWN IN CHINA, STRONG JOBS REPORT $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

WEEKLY MARKET DIGEST: GET AHEAD — WALL STREET ANOINTS TRUMP BUT SANDERS MAY WIN IOWA, CORONAVIRUS IMPACT ON STOCK MARKET $DIA $GLD $QQQ $SLV

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

BIOTECHS ARE HOT PRODUCING OUTSIZED GAINS — GET YOUR SHARE $GSK $GBT $MRK $SPY $DJIA $ICPT $THOR $ARQL $BHVN $CLVS $AMZN $JNJ $PHE $NVS $SNY

New developments in clinical trials and drug approvals have become commonplace. And buyouts of biotech stocks at high premiums are ...

WEEKLY MARKET DIGEST: SLOWEST CHINA GROWTH SINCE 1992, MARIJUANA INSANITY $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

WEEKLY MARKET DIGEST: WALL STREET POSITIVE ON IMPEACHMENT, MARIJUANA BANKING, BEST MOVE IN INDIAN STOCKS $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

FIVE IMPORTANT POINTS EVERY PRUDENT INVESTOR OUGHT TO CONSIDER ABOUT TRUMP IMPEACHMENT $SPY $AMZN $JPM $MU $CAT $UNH $GLD $MRK

The House of Representatives has started an impeachment inquiry into President Trump. What does that mean for investors? First and foremost, ...

WEEKLY MARKET DIGEST: HIGHER CONSUMER SPENDING BUT LOWER PERSONAL INCOME, GOLD SOLD, CRUDE OIL BUILD, HIGHER STOCKS $DIA $GLD $QQQ $SLV $SPY

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

WEEKLY MARKET DIGEST: INGENIOUS MARIJUANA DEAL, MONEY FLOWING INTO INDIA, OPTIMISM ON RETAIL DATA $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

Follow

Get every new post delivered to your Inbox

Join other followers