The iShares Nasdaq Biotechnology ETF (NasdaqGS: IBB), which tracks the Nasdaq Biotechnology Index, the largest biotech exchange traded fund by assets, is off just 1.8% over the past 90 days. That showing is not too bad considering the impact presidential election year rhetoric is having on the biotechnology space.

Investors who are closely watching the presidential race will want to keep an eye on Democratic nominee Hillary Clinton in the coming months. If Clinton makes her way to the Oval Office and implements more regulation on pharmaceutical drug pricing, biotech companies may underperform the broader market.

SEE MORE: BBP – An Outperforming Biotechnology ETF

IBB and rivals such as the SPDR S&P Biotech ETF (NYSEArca: XBI) and the First Trust NYSE Arca Biotechnology Index Fund (NYSEArca: FBT) are among the previously high-flying biotech ETFs that have been sapped by politicians, looking to earn voters favor in an election year, attacking high drug prices.

[related_stories]

However, some technical analysts see upside coming for IBB and friends.

“But there are signs that suggest the whole ailment may not have run its course. Since the top, IBB has fallen in two steps of about equal length. Each time it, though, it has bounced slightly, up to prior support levels. The first time that happened, biotech fell hard again in its second plunge. August saw another rise to prior support,” according to Investing.com.

Showing Page 1 of 2