“Taking the other side of the trade, Max Wolff of 55 Capital doesn’t see a lot of upside in the near-term, due to the magnitude of its recent run, as well as building uncertainty about health-care policy,” reports CNBC.
IBB lost $192.2 million in assets for the week ended March 9th, bringing its year-to-date outflows total to just over $253 million.
ETF traders who are betting big on the biotechnology sector rebound have also utilized leveraged long options including the Direxion Daily S&P Biotech Bull Shares (NYSEArca: LABU), which takes the 3x or 300% daily performance of the S&P Biotechnology Select Industry Index.
Other options include the ProShares UltraPro Nasdaq Biotechnology (NasdaqGM: UBIO), which takes the 3x daily performance of the Nasdaq Biotechnology Index, and the ProShares Ultra Nasdaq Biotechnology (NasdaqGM: BIB), which takes the 2x performance of the same benchmark.
For more information on the biotech sector, visit our biotechnology category.