From Jeff Clark, Editor, Stansberry Short Report:
It’s time to buy biotech stocks.
While nearly every other sector of the market is trading near highs for the year, the biotech sector is still down 10% in 2016. It’s down 40% from its peak last summer.
The broad stock market rally over the past seven weeks has pushed the S&P 500 up 17% from its February low. The semiconductor sector is almost 20% higher. Technology stocks are up 15%. And even the banking sector played “catch-up” last week with a solid move higher.
Most of the biotech stocks have missed the party.
But that may be about to change. While the rest of the market is overbought and most of the sector charts look “toppy,” the biotech sector appears to be set up for a rally.
Take a look at this chart of the SPDR S&P Biotech Fund (XBI), an exchange-traded fund…