I made a rather bemused post on January 11 as Donald Trump said the word “Pharma” in his first formal post-election press conference and man, machine and substance abuser alike dropped the entire Healthcare sector, including Medical Devices, which actually stand to benefit from proposed Trumpian policy.

Market Paints Medical Devices With the Pharma Brush on Trump

Well, here is the IHI iShares today, at new highs.

I’ve taken profits on the overbought IHI along with components BSX and WAT, while still holding MDT for a possible gap fill and date with the SMA 200.  I also hold IHI component CRY, on which I’d taken profit, bought back a downward consolidation and then got hammered on Thursday before a partial recovery on Friday [insert “that’s showbiz!” language here].

I do find it interesting that many of the supposed anti-Trump areas are rallying now.  First and foremost, there is big tech, which initially got hit on ‘jobs repatriation’ hype (ha ha ha… look at tech now) and now Healthcare and in particular Biotech and Pharma are starting to make some noise.  Here’s a weekly chart of the Healthcare SPDR (XLV, heavily weighted with Pharma) and the Biotech iShares (IBB).  They are at resistance, but have a sneaky bullish look to them.

Here is a daily chart of Biotech giant AMGN, which I have held since it was ID’d in NFTRH using this chart, for having broken above resistance (yellow shaded area), which it tested a couple weeks later before moving well above the initial target of 162.  It’s overbought, but I still seem to be holding it for some reason.  I think that reason is that I am not quite ready to sell out of all longs.  Just taking it slow and patient, which is more of a mental exercise than you might think.

There is a lot of ‘quant’-like data telling me why this Trump rally’s days could be numbered, but a more a casual sign could be that the anti-Trump stuff is finally getting bid.  Is that ending stage activity?  Just doing what I love and putting up some charts… and asking some questions.