Drug Index Strength

A couple weeks ago we noted the favorable near term technical set up in the Drug Index (DRG). The pattern indeed resolved bullishly. Nearly all large cap pharma stocks are currently under accumulation.

Pulling back the time frame, the DRG looks to be poking its nose thru a decade long down trend (there is also a multi-year flag pattern). When drawing the line w/ a crayon instead of a pencil, there has yet to be a technical resolution.

But current price action is most definitely bullish.

position in select pharma