Biotech sector's good move today can be a good breakout pointing to higher levels

Very nice move in the biotechs today! I'm keeping in mind several Elliott Wave possibilities for the count, as I don't want to become complacent about its continuation to new highs ... even though from a fundamental and conceptual standpoint, I really like this sector's prospects for the future. However, since the move today vaulted well above certain Fibonacci retrace levels (that I discussed more at my UBTNB3 blogspot, see links at right), I think that $BTK has good chances to continue higher.

I can still think of ways to count something that would be bearish - even if this leads to a new high, if it would be a fifth wave and then roll over again. More immediate would be if this is a "B" wave after a flat, which then gives way to the rest of a complex correction, such as a zigzag or pair of zigzags down. And other Fib levels can be checked such as .786 retrace, etc.

Looking at it from a bullish perspective, this can be a wave "3 of 3" up, and the indicators are looking plenty positive. Even the DMI-ADX has spiked up - since it's a slower moving indicator, this is already impressive. We can also keep an eye on the stochastics and MACD indicators, which move more quickly and will give a sooner heads' up with any negative divergence when the time is right. Given that the move today already put it in good position to work on moving to new highs, I'm tilting to the idea that it may be a while before that time comes.

For a portfolio like the "KI$$" idea I surfaced this weekend, it can be a good idea to buy it as a breakout, since the recent consolidation range should provide good support if it were to experience weakness. The indicators looking this positive are not giving any signs of that level of weakness showing up anytime soon.