Biotech used to be an upside leader over the broad market coming off the 2009 lows. But it gave up that leadership back in 2015 when it peaked and started under-performing the broad market. Over the past 15 months, biotech has started acting a little better.
Below looks at biotech ETF SPDR S&P Biotech (NYSE:XBI) and updates the pattern is has been forming of late.
XBI is in an uptrend since the lows in early 2016. Recently it looks to have formed a bullish ascending triangle and is working on a breakout at (1).
We highlighted two overhead tests that could become potential resistance zones that could become overhead tests.