UPDATE: Sure enough the 100DMA was met with buying... for now...
[3]
The Nasdaq Biotech index is down 4% from earlier opening highs and is once again testing the 100-day-moving-average that provided some impetus for a modest bounce yesterday. This is a 10-week low level (-14% from Feb highs) and has retraced over 60% of the gains since the Fed announced the taper in December. Volume has been very heavy.
We suspect we will bounce off the 100DMA once again...
[4]
but any 3rd break may be the tell that all is not well (as well as the volume below...)
[5]
As a gentle reminder this all started when Waxman questioned the bubblicious pricing that bubblicious firms like Gilead are pricing for their new drugs...
Letter to Gilead [6] by zerohedge [7]