Ebb & Flow

Bear markets are known to have mini-rallies. But what separates the bear market rally from a bull rally is that the former gets cut short by profit taking, making it difficult to sustain any momentum.

But the current two-week equity rally is beginning to show some legs. The BioCentury 100 posted a 5% gain last week - after backing out the blowup of Actelion on Friday (see below)- putting it up 17% in the past two weeks. The group, which lagged the NASDAQ on the way down, now is lagging on the bounce. The Composite added 10% last week, putting it up 26% in the two-week period. ...