Why do biotech stocks fall before good news?

Biotech stock and market is very important because they are big economy and money making industries that have a direct effect on social health and medicine services. But there is a big challenge for beginners in stock trading that this market has a unique behavior to good news! And usually they ask why do biotech stocks fall before good news!

The main answer is a simple rule: Request and response! Question and answers!

Biotechnology as a pioneer in medical drug development and new solution for diseases like cancer and pandemic virus and bacteria needs bad news to growth, because their products is an answer to the question now what to do with #Covid19 pandemic, what to do with this cancer, how to cure cancer? And all of there will lead to this big answer that we need a cure with molecular vision, so big biopharmaceuticals companies will growth to answer to this question and then their stocks value will increase and then competition to enjoy this money making process will increase their stocks value up and up!

But good news such as ending Corona pandemic, A vaccine for a cancer, exact cure method for #HIV and technology for stop aging such as #CRISPER are very good news to human that will lead to stock fall! And this is the reason, Why do biotech stocks fall before good news?

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