Still, some technical analysts see biotech as still in fragile technical position.
“What IBB does at falling resistance line could influence the broad markets going forward. Even if you do not own Biotech, don’t overlook how important its price message could be and its potential impact on the broad markets,” according to Investing.com.
The impact of a Trump presidency on healthcare stocks remains to be seen. Candidate Trump rebuked Obamacare and if successful in that effort, there would likely be some effect on diversified healthcare ETFs due to their exposure to health insurance providers. However, Trump is seen as more friendly toward industry consolidation, which could be a boon for biotechnology, a group with a deep history of acquisition activity.
For more information on the biotech sector, visit our biotechnology category.
iShares Nasdaq Biotechnology ETF
