BlackRock Floating Rate Income Strategies Fund (FRA) and Eaton Vance Floating Rate Income Fund (EFT)...
Biotech ETF Ripe for Short Sale
02/25/2011 7:00 am EST
Clinical trials aside, one popular biotech ETF has failed a recent technical trial. With key support broken, it now looks likely to continue even lower.
Shares of the Biotech HOLDRS Trust ETF (BBH) have now closed below support three times this week.
The $100.00 level had held as support since December 2010, though BBH did not participate in the strong market rally in early 2011.
The break of support leaves the shares vulnerable to further declines.
There is support at the $96.50 level, the lows reached on November 30, 3010, and then at $95.91, the 50% retracement level for the August 27, 2010-to-January 18, 2011 advance.
The 200-day moving average sits just above $96, and BBH is also now below its 50-day moving average, adding to the bearish short-term case.
By Frank Kollar of FibTimer.com
Related Articles on ETFS
iShares Russell 2000 (IWM) is an ETF that tracks the Russell 2000 Index (RUT). It is the most liquid...
O’Shares Global Internet Giants ETF (OGIG) is the newest addition to O’Shares’ gro...
The iShares MSCI Brazil ETF peaked on January 25 and has since declined 30.8%, officially entering c...