Our foray into UBIO, the leveraged long biotech ETF,  got a rough start.  But those investors who have owned BIS, the inverse leveraged biotech ETF, especially simultaneously with UBIO have fared better overall since BIS shares have risen during the period in which UBIO has fallen. 

We still think that biotech is about to make a big move, which could still be to the up side,  so here is a trade adjustment update:

1. If you own UBIO and have not sold since it broke below the initially recommended $22 sell stop, hold the position for now.  A decisive break below $19 would wash the trade out on the long side.
2. If you own BIS, raise the sell stop to $44 from the current $42.

The bottom line is that the biotech sector is at a crucial turning point and that it could still go either way, thus it is best to hedge the bet at this point and limit losses to the down side in UBIO as we describe above.