LABU Stock Chart Fibonacci Analysis 041123 Trading Idea
1) Find a FIBO slingshot
2) Check FIBO 61.80% level
3) Entry Point > 4.97/61.80%
LABU trade ideas
LABU , LONG ( Fri close entry ) Took an hourly wedge pop near the close on labu and seems to also be a bounce off trendline here too ..
I like the proximity to my 10/21 emas here and I like the hammer bounce off TL.
Entry - 8.82
Stop - 7.88
PT1 - 9.78 . sell 1/4 , stop to half risk
PT2- 10.71 , sell 1/4
LABU , LONGHere goes another shot on LABU , based on yesterdays signal but we are in a TTR ( tight trading range) , so not the best setup , but having said this, I wanted to make sure I stayed focused on LABU since I think that it is a leader based on all the biotech stocks ripping for quite a while now and the fact that it has been seeing some massive volumes and bottomed way before the market did.
I don't have a system to get me in using a buy stop but I think that these kind of setups one would be better getting in above one of the highs rather than the wedge pop I used ...
LABU - Break-out & bullish signalsLABU daily chart showing a recent break-out and successful back-test of the longer-term down trend.
Optimism present due to a recent Bullish Cross on the MACD, price closing above the VWAP on Friday, price now above the 50-day MA, and buyers appear to be coming back.
BBs staying tight on the daily suggesting a significant move may occur soon. Last time the BBW was this low the price move was +20%. Targeting a similar rise in price on this trade to the $8.30s or $8.40s.
NFA.
LABU, LONGThis is one that I have decided to play based on the following thoughts :
I think there is a good chance that QQQ/SPY may have bottomed on Oct 13th
That being said , although LABUs and XBI's relative strength vs the market has only been ho hum , it still seems to have possibly bottomed on the 16th of June when the market indices where still putting in new lows .
Most days I pay attention to new highs and have observed there are a fair amount of bio tech stocks making new highs for quite some time too.
There are 3 noticeable nodes of resistance to the left on daily that we should really be above to allow an entry , but my strategy here is to buy a 50 sma TB signal with the hope that todays exceptional market rally will see follow-through and hopefully a continued move up in LABU which will get me closer to my de-risk area .That being said this is an idea that has stuck with me for quite some time and I am more than prepared to be stopped out repeatedly .
Lastly, just want to add that the net short levels of the German 40 , French 40, and Dow jones are currently 78%, 78% and 73% , and as we have gone up , overall the trend is to see net short levels go higher , I think that this really has potential to supercharge a bull rally. Logic being that if these net short traders/investors continue to loose on their bets , they will ultimately eventually have to cover and this could really create quite the bull move . Just my opinion but seems like just about everyone I know thinks this market is all doom and gloom here , and history tells us that when this happens it usually means the opposite .
I watch net short levels on Daily fx btw and personally track the short/long basis of the mentioned indices .
LABU target price based on pitchfork analysisTwo pitchfork lines (one with dashed lines and one with sold lines) neatly matched their bottom lines. The price (approximately) reached that level 5 times. Further, the solid's middle red line matches pretty well the dashed pitchfork top lines. All these makes for a more confident prediction(s). The first is that the price will reach above 14 (the top dashed line), as marked. That would be above 75% increase from current price. At that point the price may or may not temporarily fall back after which I expect to continue up reaching above 22 (the marked top solid pitchfork line). That's over 175% profit.
I have been long on LABU since 6.47 (as posted elsewhere).
LABU 3X LEVERAGED BIOTECH ETF on support for LONGAMEX:LABU
LABU a 3x leveraged EFT in the biotechnology sector has diverse holdings.
My thesis is that biotechnology and healthcare are relatively unhinged from the broader general market.
On this 15 minute chart, consolidation at support is seen in July, Price then rapidly rose
into a triple top in mid-August followed by a descent into a double bottom at the support level.
This is a leveraged ETF with good volatility which can be traded.
The volume profile of July through mid-August sets a POC as 8,65. This is the best support level
within the zone. In the same fashion the volume profile of mid-August through the present sets
a POC at 12.45 which is the bottom of the resistance zone. The spread is approximately 40% upside
over perhaps two weeks of the expectant uptrend.
The zero-lag SMA / EMA oscillator is showing green at its most recent print with an uptrend noted.
I will take a trade in a call option with a strike 20 % higher than current price
given the potential immediate upside of 40%. I will select an expiration in 4-6 weeks and hope
for a 100-200% return.
LABU 3X Leverage BIOTECHNOLOGY a potential Recession playLABU a 3x leveraged EFT in the biotechnology sector has diverse holdings.
My thesis is that biotechnology and healthcare are relatively unhinged from the broader general market.
Here I chart LABU / QQQ ratio to determine relative strength.
On this weekly chart, the ratio and so relative strength are at more than a 52 week low.
The MACD indicator shows the MACD and signal line ascending and below the histogram.;
moreover the MACD in green is running above the signal line. This favors a trend reversal.
All in all, this seems to be a setup for a long swing trade or investment.
I will take a trade in a call option with a strike 50% higher than current price
as I see a potential for a large percentage gain for LABU. The diversity of the ETF
will serve to mitigate some of the risk. A stop loss will be 1% below current price
with an expectation of more than a 50 % return in the remainder of the calendar
year but far more in the case of the call option scenario
LABU LEVERAGED BIOTECH ETFThis Daily Chart plots LABU to LABD ratios over time. LABU is 3X Leveraged ETF of a variety of biotechnology
stocks while LABD is the inverse.
By plotting the ratio of LABU to LABD, what can be found is the precise end of the LABU downtrend (LABD uptrend)
and reversal into LABU uptrend ( LABD downtrend).
In this case, the reversal occurred about June 17th while the SPY reached its current market bottom.
This type of analysis can be used to make trade decisions regarding a contrasting pair of stocks or forex pairs.
It makes the decisions more informed. IF going down to a 1H or 4H timeframe, the accuracies will be higher
and the pivots more frequent also making potential profits higher.
This can be used with other ETF inverses such as
GUST /DRIP
BOIL /KOLD
JDST / JNUG
YINN / YANG
SOXL/ SOXS
FAZ / FAS
TMF /TMV
By setting up all of these also with alerts such as ratio decreasing or ration increasing
a trader with very little time to trade and diversify and automate his/her trading
resulting in risk stratification and mitigation and economy of time.
watch this ETF, target 48Emergency: U.S. declares monkeypox a public health emergency
The Direxion Daily S&P Biotech Bull 3X Shares fund provides exposure to a large range of high-performing biotechnology companies in the US. Managed by Direxion, which is headquartered in Milwaukee, Wisconsin this fund was established in May 2015.
The key objective of the Direxion Daily S&P Biotech Bull 3X Shares ETF is to provide 300% of the daily investment performance of the S&P Biotechnology Select Industry Index, but this fund should not be expected to provide these results for periods greater than a single day. All the companies held by this fund are part of the S&P 500, which includes large companies listed on stock exchanges within the United States. The fund generally invests the majority of its assets in stocks for companies that are listed in the index. The base currency for this fund is USD.
Stock for the Direxion Daily S&P Biotech Bull 3X Shares ETF is listed on the NYSE under the ticker LABU.US. This fund only includes investments in the biotechnology industry. This fund is non-diversified. As of 10 December 2021, some of the fund's top holdings include Acceleron Phar/D, Cytokinetics, Sarepta Therapeutics Inc De, Seagen Inc., Tg Therapeutics, Seres Therapeutics, Chemocentryx, Dynavax Technologies, Iovance Biotherapeutics Inc., and Ironwood Pharma Class A.
