Healthcare Stocks Lead On A Lackluster Day

Healthcare Sector Leads the Market 

Lagging healthcare and biotech stocks found buyers today. The healthcare SPDR ETF (XLV) was up 1.05% to $69.38 as investors were probably seeking dividends and safety with fears about pricing tempered. The XLV is still down 3.68% YTD. Biotechs came out of the box strong but sold off as the day wore on with the IBB up o.87% and the XBI up 1.34%. Lagging healthcare and biotech stocks found buyers today dividends and safety with fears about pricing tempered. Both of these ETFs are at the top of a one month trading range and need to break through to support the strong tape.

MedTech, another lagging sector, had a good day as well : Edwards Life Science (EW) up 16.86% on clinical trial results for a transcatheter aortic valve replacement (TAVR) and Intuitive Surgical (ISRG) was up 2.57% near its 52 week high.

Our recent picks were all up today: ABBV up 3.1%, BLUE up 4.79%, BMY up 1.63%, GILD up 0.13% and RHHBY up 1.38%. If the tape remains strong we will add more mid-caps and smaller cap speculative stock. We added more risk with XBI last week and it must remain strong to confirm this mini-rally.

This is a Good Market for Traders with a Lively Tape

A green screen dominated today with many notable movers: ACAD up 4.88%, ALNY up 4.24%, ALXN up 2.91%, ANAC up 7.76%, EDIT up 7.26%, ESPR up 10.62%, KITE up 3.41%, NBIX up 3.34%, VRTX up 4.72% and ZIOP up 3.94%. Technicals dominate trading for now.

Risk on if technicals can hold or break through current levels.

Disclosure: Long RHHBY

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