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XBI

RYTM Biotech Penny Anti-Obesity LONGRYTM did a 120% run in November and December and then pivoted to start the year. It competes in the anti-obesity drug space which is all the rage right now and has snack food manufactures freaking out. The retrace was a shallow one in a sign of strength finding support at the 0.382 retracement level and then pivoting into a reversal in the past week. The dual TF RSI shows the resurgence of bullish momentum. Earnings were okay, but not great. An FDA approval to add to the mix of meds and lower their price in the competition may send RHYTHM into launch mode. RYTM did 10% today such is the life of highly volatile penny stocks in what is considered to be the likely hottest sector of the year. I will look toward OTM call options for February 16th presently priced at about $200 per contract and a couple of shares shorted to provide some hedging. Looking for 100% in 2-3 weeks. Will close 1/2 the position a few days before upcoming earnings.
NASDAQ:RYTMLong
by AwesomeAvani
1
MGNX a biotech company gets new "Outperform" LONGMGNX as a biotech company makes antibodies against certain cancers. The antibody is tagged to chemotherapy molecules and then heads off looking for cancer cells to which it has a strong affinity. So much for the science. MGNX just got upgraded and the new target is $ 16.00 about 25% upside. Biotech and healthcare are projected hot sectors this year. On the 15 minute chart price jumped about 12% in the past week and bounced down toward the anchored mean VWAP and is well situated for a long entry. the dual TF RSI indicator shows both lines crossing the 50 level in early bullish momentum off the bounce. It is continually hitting new past year highs at a great trend angle and is on pace to hit 400% for an annual return. There is no option play here as the volume is minimal and liquidity is absent. The all-time high is about $32 so there is plenty of room above the analyst's target over the long term. Price has moved 12X the S & P YTD certainly a sign of relative strength.
NASDAQ:MGNXLong
by AwesomeAvani
1
HRTX a biotech penny stock with 70% in two months LONGHRTX has been suggested by various trading websites as a potentially explosive penny biotech stock for 2024. It has experienced excellent price actions since an earnings beat in November. It beat the estimates; that is to say it burned about half as much cash as the analysts estimated the it would. Today it pumped 11%. Relevant articles can be found compiled on the Yahoo Finance page linked here. The chart is 120 minutes. A alpha trend indicator is shown and the supertrend since the November earnings is upward. An AI Lorentzian indicator is added with a 2000 candle lookback to generate buy and sell signals. It calculated a 59% win on 83 trades over those 2000 candles two hours each; this amounts to about 2000 x 2 / 6 hrs per session or more than 600 trading days = 2 1/2 years. Also supporting an entry at this time is the faster (45 min) RSI line rising over the 50 level while the slower ( 240 minutes in red) RSI line has been over the 50 level since those earnings. The ADX indicator had a DI- and DI + flip with a mini pullback to close out last week's trading ( profit taking). The volatility indicator also showed that dip with selling volatility greater than buying which has now flipped. Given that price has went 5X in 2 months , there is a possibility HRTX is overbought. Analysts seem to think otherwise. I will take a stock position here and anticipate holding the position into the next earnings. For trade management I will take partials of 5 % each at the high of day for ten days going into earnings and hold the remaining 50% through the earnings. In the meanwhile I will review the trade if the machine-learning alo indicator generates either a buy or sell signal. For those lacking the risk tolerance for money-losing biotechnology penny stocks with high potential but are aware that biotechnology is expected to be "outperforming" in 2024, XBI and LABU are ETFs with risk-mitigation in the form of a diverse portfolio from the sector.
NASDAQ:HRTXLong
by AwesomeAvani
Opening: XBI Jan '25 77 Covered CallComments: This started out as an October 20th 76 short put (See Post Below) and then proceeded to crater quite massively, resulting in early, random assignment of shares. In an attempt to get my cost basis immediately within earshot of where the underlying is currently trading, I went extremely long-dated and sold the Jan '25 77 for 7.05 against my one lot, resulting in a cost basis of my original short put strike at 76 minus the 7.05 I received for the short call or 68.95 relative to today's closing price of 67.07. The Jan '25 77 short call finished the day at around 43 delta, and -- as with all my covered calls, I'll look to roll out the short call at intervals, with an eye toward keeping the short call at or above the 30 delta and/or leaving it alone if price pops back above my break even. Unfortunately, the position becomes somewhat "dead money" for a bit since the current next available expiries to roll to are limited to June '25, Dec '25, and Jan '26 (although I can certainly roll down intraexpiry if push comes to shove).
AMEX:XBILong
by NaughtyPines
A clear risk on event is taking placeI multiplied the less risky Dow and Spy while dividing it with a multiple of bio, the Russel and Ark. This shows a clear shooting star candle in development this month which should signal much greater future gains in higher risk stocks and an end to this pullback in the market. You can see that we had nice rallies the last two times that this has happened on this chart at March 2020 and Feb 2016. I also noticed some more supporting evidence that this is near the bottom from the dark orange wedge breakout. If you measure the bottom to the peak in 2015-16 you can get an ideal exit target for the wedge breakout. Typically, you would measure from the breakout point, which it hasn't reached at this time, but if you measure from the bottom, you can see that the target has interestingly been reached to an almost exact amount. We also have the yellow resistance and the peak at March 2020 as a pivot point for all of these lines. Not too critical of a point, I just found that interesting haha. We also have institutions like black rock capitulating on growth twitter.com Many institutions were bearish on the market at the bottom of the covid dip. Finally we have a heavily overbought RSI and stoch on the monthly that also signals a top. Now the short term future outlook looks bullish on risk to me but I was thinking on potential long term possibilities from there: I believe that the yellow trajectory is more likely to happen over the blue one at this point to be honest. The blue option just requires too much competence in all global leaders to pull off so it seems unlikely to me and would be frankly miraculous. But it could still happen. The yellow one would basically give investors an opportunity to exit growth at more reasonable prices before the market continues its tank fest again. And while I have this pivot point at Jan 2024, it could happen much steeper and faster and pivot later this year. The yellow support line and the blue breakout line are most important to watch and see what option it'll be.
AMEX:SPY
by Lynxys
3
Opening (IRA): XBI October 20th 76 Short PutComments: Looking to sell the around the 30 delta here in the October monthly, which is more aggressive than I usually go, but am fine with taking assignment, selling call against if it comes to that. Currently, the strike is bid 1.45/ask 1.65 with a 1.55 mid, so will look to get a fill "in that neighborhood." Just looking for some "engagement" in this broad market, low IV environment with my standard go-to's (IWM, QQQ, SPY) at 17.8%, 18.8%, and (ugh) 13.6%, respectively for their 30-days.
AMEX:XBILong
by NaughtyPines
XBI - Starting the year strong with a minor breakoutBiotech stocks have been my focus as many are showing significant relative strength and posting new 52 week highs. I got long XBI yesterday on the break of $85. Something to consider - stocks well below their all-time highs have a lot of supply to contend with, so the probability of a smooth trend out of a base tends to be lower and raises the probability of failure. The larger degree consolidation could look like this if the selling isn't absorbed by enough buyers at resistance:
AMEX:XBILong
by Lanmar