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Ishares Nasdaq BiotechnologyIBBCOMMENTJun 03, 2016Stock price when the opinion was issued
As of Jun 18, 2026. Market Open.
Healthcare sector outlook The sector has had a great bounce since March lows. A good way to play the COVID vaccine race. IBB is the best-known biotech ETF, but he does the XBI, because it's equal-weighted. XBI has had a great bounce. It's a great sector with reasonable valuations. The race for a COVID vaccine is a tailwind, of course. Biotech is a slow-growth area, which benefit from interest rates staying very low for the long term.
In the past few days there has been a huge run up since mid-May, and has bounced off significant support 3 times since February. It is bumping up against resistance of about $290. If it can break above that, it could imply significant upside potential. Chart shows a downward trend line and is currently bumping up against resistance, but shows a nice triple bottom.