I just returned from the annual ISPOR show which showcases companies which tell the 'value' of a therapy coming to market ... thru a combination of "evidence synthesis, economic modeling or RWE (Real World Evidence) studies very smart people are able to create models which show the value - economic and medical for anything hitting the streets. This industry is reeling ... between the disruption w/in HHS, NIH, etc., the pricing EO, Medicare and UNH we are in a very real pivot at how Pharma/Health Care will be administered in the future. I don't think there is any going back.
My good friend, a 25 year pharma executive, told me this week this is the biggest disruption he has ever seen. Will the drugs and devices go away? Of course not, and they shouldn't ...will the crazy run these companies have been on happen again? Possibly. That being said, business models are being retooled as I type ...
Hence, the IBB chart below. Looks like it's sitting on a cliff of support and just finished a three way move up at the recent highs ... if/when we break the dashed red line of support, look at the near perfect BUY we have. That will be the play, in my humbled opinion. Last, take note of the 'major' pullbacks in the run to the high - all corrections were 40%. (Use long term log scales to check percentage corrections and projections)
