Reversal Trade Alert – HOLX

Healthcare stocks have taken a beating over the last few days, but this might be an opportunity for the bulls. The sharp selloff on many of the healthcare stocks has been dramatic, but some them look poised to get at least a short term bounce. Take Hologic (HOLX) for example.

Hologic fell hard last week with some sharp selloffs on Tuesday and Wednesday, but Thursday shows that bearish move may be coming to an end as price finally seemed to find its footing around the $43 level. This level also represents the 50% retracement level, so buyers should see this as a strong opportunity. Watch for at least a short term bounce as the bulls look to take an advantage of a value play.