Biogen (BIIB) was reviewed earlier this month. I summed up the strategy this way: "BIIB looks like it can rally to $310 and maybe higher. Aggressive traders could go long around $280 risking to $260 looking for a rally to $310 or higher." BIIB has rallied nicely in recent days and is much closer to crossing above the 200-day moving average line. Let's review all the charts and indicators for an updated strategy.
In this daily bar chart of BIIB, below, we can see that BIBB is above the flat 50-day moving average line which could turn up soon. The daily On-Balance-Volume (OBV) line has strengthened in the past week and tells us that buyers of BIIB have become more aggressive. The trend-following Moving Average Convergence Divergence (MACD) oscillator has moved above the zero line and supports the bull case.
In this weekly bar chart of BIIB, below, we can see the past three years of price action. There is only one new development to point out. BIIB is still below the flat 40-week moving average line. The weekly OBV line is neutral but the key signal is that there is a bullish crossover for the MACD oscillator. This is a weekly cover shorts buy signal.
In this Point and Figure chart of BIIB, below, we can see a breakout at $288.17. The upside price target at $339.20 is not as far away as it was two weeks ago.
Bottom line: BIIB is moving up nicely. Traders who went long following my last update could raise sell stop protection to $275. Aggressive traders could add to long positions.