BIB Forecast


Bullish Case: BIB is poised for upward movement due to lower Cyclical Volatility, suggesting potential stability in the biotechnology sector. Historical returns show positive outcomes when held over one to two years, implying increased investor confidence.


Bearish Case: Market volatility remains high and might lead to unexpected downturns. With implied volatility exceeding historical averages, potential for drastic price corrections is significant, particularly if biotech earnings disappoint.


Potential Outcomes:

1. Price increase above $70 (40% chance).

2. Stabilization around current levels ($66.11) (30% chance).

3. Drop below $60 (20% chance).

4. Significant correction under $55 (10% chance).


Trading Oracle: Consider initiating a bullish debit spread using BIB call options at strikes $70 and $75 for August expiry. Anticipate potential volatility with a high likelihood of retesting recent highs. Leverage premium decay and limit losses with defined risk.


July 24, 2024


ProShares Ultra Nasdaq Biotechnology Forecast

BIB      ProShares Ultra Nasdaq Biotechnology











Correlated Assets

Assets that tend to move strongly with BIB



XBI Forecast + Options Trading Strategies   XBI  SPDR Biotech (0.91)


XLV Forecast + Options Trading Strategies   XLV  Health Care Select Sector SPDR (0.85)


PFF Forecast + Options Trading Strategies   PFF  iShares Trust iShares Pre (0.85)


TWST Forecast + Options Trading Strategies   TWST  Twist Bioscience (0.84)


BURL Forecast + Options Trading Strategies   BURL  Burlington Stores (0.83)



Uncorrelated Assets

Assets with little price relationship to BIB



GLPI Forecast + Options Trading Strategies   GLPI  Gaming and Leisure Properties (-0.0)


SNDL Forecast + Options Trading Strategies   SNDL  Sundial Growers (0.0)


SHEL Forecast + Options Trading Strategies   SHEL  Shell Plc - ADR (Representing) (0.0)


BYND Forecast + Options Trading Strategies   BYND  Beyond Meat (-0.0)


BA Forecast + Options Trading Strategies   BA  Boeing (-0.0)



Anticorrelated Assets

Assets that tend to move strongly against BIB



TZA Forecast + Options Trading Strategies   TZA  Direxion Daily Small Cap Bear 3X Shares (-0.78)


RWM Forecast + Options Trading Strategies   RWM  ProShares Trust - ProShares Short Russell2000 (-0.79)


REK Forecast + Options Trading Strategies   REK  ProShares Short Real Estate (-0.83)


DRV Forecast + Options Trading Strategies   DRV  Direxion Daily Real Estate Bear 3X Shares (-0.83)


SRS Forecast + Options Trading Strategies   SRS  ProShares UltraShort Real Estate (-0.83)





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