February 24, 2011
Shares of the ETF Biotech HOLDRS (AMEX: BBH) closed below support on Wednesday, February 23.
The BBH $100.00 level had held as support since December 2010 though BBH did not participate in the strong market in early 2011.
The break of support leaves shares vulnerable to further declines.
There is support at the $96.50 level, the lows reached on November 30, 3010 and then at $95.91, the 50% retracement level for the August 27, 2010 to January 18, 2011 advance.
BBH is also now below its 50-day moving average, adding to the bearish short term case.
The Fibtimer.com (http://www.fibtimer.com) ETF Timing Strategy holds a position in Biotech HOLDRS.