Seagen builds bearish momentum towards key support at $153.96

• Seagen's fall makes for its largest single-day drop in Jan 17.
• Seagen's upper Bollinger Band® is at $159.68 which indicates a further downward move may follow.

Pronounced bearish sentiment in the market pushed the biotechnology company into a notable 3.65% slide yesterday, falling $5.94 and ultimately closing at $156.59.

The stock has been trending positively for about 2 months. The cancer therapies development company has gained 20.71% since its lowest print of $108.81 earlier this year.

Trend-focused traders would be interested to note that investors are seeking long positions as Seattle Genetics Inc price action surged above +100 — a key CCI threshold indicating an imminent bullish trend. Momentum evaluation shows that the Relative Strength Index indicates Seagen is in an overbought condition. Analysis based on the asset volatility indicates that Seagen's upper Bollinger Band® is at $159.68 which indicates a further downward move may follow. Technical analysis shows that Seagen could begin to recover as it approaches significant support, now $2.63 away from $153.96. Dipping below could be an indication that further losses are ahead.

All in all, the technical analysis suggests Seagen has no clear-cut direction.

Fundamental indicators – United States Existing Home Sales (Jan) came out at 4 million, while a consensus of analysts was expecting 4 million.

Seagen was not the only decliner in the health care sector; Abbott Laboratories went down 2.89%, closed at $106.74. Johnson & Johnson closed at $158 (down 1.49%). Pfizer withdraws 1.18% yesterday to close at $43.21.

Upcoming fundamentals: projections for United States Crude Oil Inventories are set for a continuation of decline with 1.17 million while previous data was 16.28 million; data will be released tomorrow at 16:00 UTC.