Teladoc Looks Healthy on the Charts - Look to Buy a Shallow Dip

 | Jun 13, 2018 | 11:10 AM EDT
  • Comment
  • Print Print
  • Print
Stock quotes in this article:

tdoc

Until today, I have never looked at the charts and indicators of Teladoc, Inc. (TDOC)  . I must admit that I have never used their services even though it has been available to me through some health plans I've had over the years.

You could say I was never an early adopter, or you could say I am old school, and would rather be checked out by my local GP. One of my three daughter-in-law's has made use of it but I never bothered to get her opinion. Don't count on me for a channel check. Let's skip to the charts.

In this daily bar chart of TDOC, below, we can see a sideways trend for the stock from last June until February. At the end of February TDOC finally broke out on the upside. The actual low point or start of the advance was in November and that is where the slope of the 50-day moving average began to turn positive. 

The slope of the 200-day moving average line is bullish and this indicator was tested in November, January and February.

The daily On-Balance-Volume (OBV) line began to turn positive in January, signaling that buyers of TDOC had become more aggressive.

The trend-following Moving Average Convergence Divergence (MACD) oscillator is well above the zero line and is pointed higher.

In this limited weekly bar chart of TDOC, below, we have all positive signal. Prices are above the rising 40-week moving average line.

The weekly OBV line shows a positive trend the past two years and the line has moved up to a new high with the price action.

The weekly MACD is also bullish.

In this Point and Figure chart of TDOC, below, we can see an upside price target of $67.60.

Bottom line: TDOC looks a little extended on the daily chart so some sideways price action or even a shallow dip may be in order. Traders looking to go long TDOC should try to buy a dip to the $55-$54 area and risk below $49. A move into the mid-to-upper $60's is my price target.

Columnist Conversations

Barrons.com noted significant insider purchases in the beat-up shares of Newell (NWL). The stock is...
CEO Christian Brickman couldn't resist owning more Sally Beauty Holdings (SBH) when it briefly went below $14 ...
Move over Boca Biff - there is a new sheriff in town...Chance Walker! My conversation with Chance - high abov...
Oil tested its 200-day moving average this week, but the June 18 low of $63.59 a barrel held. As a result, we...

BEST IDEAS

REAL MONEY'S BEST IDEAS

News Breaks

Powered by

COLUMNIST TWEETS

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.


TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.