the xlv is obviously heavy pharma, is only down 8%, 8.5%.hink we're all speaking the same language here. we don't need the xbi a lot of that biotech to really go on a massive ramp. we need it to start performing better. the ones that are acting better -- you know, to break out to new all-time highs. >> trade very specifically in the xlv. when you look at the price of options, it's very cheap. that makes a lot of sense for a whole host of reasons. you could look out to july expiration, the xlv, by the july 71 calls. breaks even at 72 1/4. that is your max risk. the trade is here, you get a move back towards the highs in the xlv, about 5%, 6%, 7%, that sort of movement. if you think the s&p is going to break out, i think you have a lot of laggard sectors perform well. >> you mentioned device makers, stocks performed well coming out of that. i take a look at this. i actually like the trade. it's a good way to make a decksal bet. >> just a flow. if there is momentum in the market, money is always looking for the next thing, you've done it with b

you could look out to july expiration, the xlv with the stock trading at 71.he july 71 calls paying $1.55 for those, breaks even at 72.25. that $1.25 is your max risk. you get a move back toward the highs in the xlv, 5%, 7%, that sort of movement. if you think the s&p's going to break out i think you're going to have a lot of lagguard sectors. >> thermo scientific announcing that acquisition, both stocks performing well. i take a look at this and like the trade. it's a good way to make a directional bet, not taking a lot of risk, taking advantage of cheap options. >> if there's momentum in the market, money is always looking for the next thing. banks, energy, certain industrials. this is the kind of thing the money is waiting to find something. it will go here. >> the last thing that you said is that if you think the s&p's going to break out. your commentary doesn't indicate to me that you believe that's going to be the case. >> yeah, here's the thing. we're going to know soon. what i need to see in the s&p 500 is really establish a new range above those prior

. >> one of the ways i'm playing it right now is the xlv. look at the etf and what it's made up of, big pharma stock. they have good yields. some of them are cheap, some are very reasonable. if you ever get the pickup like guy is talking about in some of the beaten-up biotex, you have the xlt making the move back to the 52-week high. >> welcome. great to have you. we didn't welcome you. i apologize. >> thank you. listen, talking about the 15% correction, what would biotech do through that? would it move with the market? would it do worse? would it do better? >> i would think they're a little more protected. >> you would think, right? let's say, play 9 game, 15% correction. ibb given the run that it's had might underperform in that scenario in a 15% down scenario. >> i disagree. i think you want to stay away from the xbi, the ibb. i think we're in a market here where you actually want to own and keep oeng strength. you probably want to keep selling weakness, especially when the broad market -- >> you do get the biotech mixed in with the pharm