Major Profit Taking In Biogen As It Bolts Too New All Time Highs

Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.

Biogen BIIB shares are trading higher by $23.00 at $562.65 in Friday's session. The catalyst for the rally is positive developments in their drug pipeline for the treatment of Alzheimer's disease. The issue, which traded as high as $480.90 in premarket trading stalled at $480.19 off the open and it has been in a freefall since reaching that elevated level. In a major burst of profit-taking, Biogen has sliced through the $470, $460 and has crept into the $450.00 handle and is attempting to stabilize in the mid $450 handle with $450.06 being the current low. The issue is trading in a dangerous area as, there may be very little support in the issue as there are no reference areas as Biogen has never traded at these elevated levels. The only identifiable area of support may be $439.90, which represents it former all time high made in Thursday's session.