Seasonal Clues for Biotech, Natural Gas, MLPs, and Regional Banks
Key points:
- Seasonal trends should not be thought of as "buy" or "sell" signals
- Seasonal trends should be thought of as "clues" that tell us "When to where for a potential opportunity"
- With that understanding in mind, traders might consider looking more closely at biotech, natural gas, master limited partnerships, and regional banks for potential trading opportunities
Biotech (IBB) faces a short-term headwind
After a strong rally from April to November 2025, the iShares Nasdaq Biotechnology ETF has traded sideways for 5 months.

The Annual Seasonal Trend chart for IBB still suggests a bullish bias for most of the rest of the year. However, the short-term period from Trading Day of the Year (TDY) #80 through TDY #87 tends to be very challenging for this sector. For 2026, this period extends from April 28th through May 7th.

The chart below displays the hypothetical growth of $1 achieved by holding a long position in IBB only during this period every year since 2002.
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