United Therapeutics (UTHR) has been under the spell of selling pressure all year. It has shown poor relative strength, as some market averages have rallied these past six weeks while UTHR has sunk to new lows for the move down.
UTHR made a top in April to June last year, chart above, and declined to an October low. Prices rebounded, but failed at the underside of the 200-day moving average line in December. Prices have sunk down to test and recently break the October lows. The On-Balance-Volume (OBV) line is pointed down and the Moving Average Convergence Divergence (MACD) oscillator is negative.
This weekly chart of UTHR, above, is suggesting that prices head down to $90 next. We are well below the declining 40-week moving average line. The OBV line is weakening on this time frame, and the MACD oscillator is also bearish. With the weekly close under the $120 support level, the next chart support lies around $90 -- the lows of 2014.