Our technical scans are highlighting rising wedge pattern in which price action touched the top of the range and is due to pullback as it has in the past. Technical indicators are confirming or in the process of confirming a move to the downside such as the relative strength indicator is crossing over to the sell side for the iShares Nasdaq Biotechnology Index Fund (IBB, quote)

Trading consideration

Sell short IBB at $147.20 or better with protective stop set at $149.50 just above the upper trendline of the wedge with a target our first target set at $1.39.50 with an extended target set at $133.50.

Remember be sure to consult your broker with any questions or concerns trading and trading short pose risk that may not be suitable for everyone.