True Wealth readers are enjoying one of the strongest "breakouts" in the world right now... the breakout in biotech.
There's nothing complicated about a breakout. It's simply when an asset makes a new high price in a given time period. They often serve as a starter's pistol to kick off bull runs. And no big move can happen without one.
The biotech breakout is in the PowerShares Biotech fund (PBE). This is a broad basket of small biotech stocks... and a top True Wealth holding. As we often remind folks, a bull move in biotech can be good for hundreds of percent gains.
In mid-January, PBE staged an upside breakout that took shares past $17.50... the highest point in over a year. A broad market decline helped create a "fakeout before the breakout" situation, however... and shares dipped back into their sideways trading base.
But in the past few weeks, PBE has cruised through the $17.50 level on the way to $19 per share. This "cruising" has also come on high trading volume... which indicates plenty of "big money" buyers are interested in biotech. The trend in the explosive biotech sector is now UP.
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