Analyst Says He's Buying This Biotech ETF, Predicts 'Multi-Year' Breakout

We recently published 10 Trending Stocks This Week. SPDR S&P Biotech ETF (NYSEARCA:XBI) is one of the trending stocks this week.

Joseph Terranova, Senior Managing Director, Virtus Investment Partners, said in a recent program on CNBC that he likes the biotech ETF SPDR S&P Biotech ETF (NYSEARCA:XBI) and sees a “breakout.” Here is what the analyst said:

"I am now going to tell you that I am going to go back to the well once again. I’m going to try it once again and buy the SPDR S&P Biotech ETF (NYSEARCA:XBI) on the close today. I will buy the XBI. I will have a very wide stop on this, which means you have to size it accordingly. I’m probably going to risk here all the way down to about 92. The stock is 103. So, I’m not going to buy a lot of this because I want to make sure I leave myself the room for the opportunity. I think over the next six to nine months, you’re in the midst of a multi-year breakout here in the SPDR S&P Biotech ETF (NYSEARCA:XBI). That’s a trade I’m going to be putting on.”

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Disclosure: None. This article is originally published at Insider Monkey.