Stocks have been getting hit pretty hard over the last week. 2015 has started off somewhat like 2014 did, which is down.

Some individual industries are holding up a little better than others, such as gold miners, REIT’s and airlines.

Biotech stocks have held on relatively well too.

Biotech names such as Agios Pharmaceuticals (NASDAQ: AGIO) and Incyte Corp (NASDAQ: INCY) are still trading near yearly highs, while biotechs like Bluebird Bio (NASDAQ: BLUE) and Isis Pharmaceuticals (NASDAQ: ISIS) just hit new highs as recently as yesterday.

Then there’s Halozyme, which has been trading sideways for months. Could it be time for a breakout?

Halozyme Therapeutics, Inc., a biopharmaceutical company, researches, develops, and commercializes human enzymes.

Its research focuses on human enzymes that transiently modify tissue under the skin to facilitate the delivery of injected drugs and fluids, or to alter abnormal tissue structures for clinical benefit.

Review the 1-year chart of Halozyme with the added notations:

Halozyme declined from January of 2014 up until April and May before finally finding some footing near $7/share. The stock rallied for a month or two from there, but eventually stalled around $10.

Since that rally, Halozyme traded sideways for the next 6 months even though the biotech industry as a whole has moved higher.

In addition, over the course of the stock’s sideways move, the price of $10 has constantly stalled the stock’s attempt at a higher move just as it did back in June.

A break above that $10 area should mean that Halozyme has bottomed and a larger rally is underway.

The stock closed yesterday at $10.06.

No matter what your strategy, or when you decide to enter, always remember to use protective stops and you’ll be around for the next trade. Capital preservation is always key.