Amgen (AMGN) has broken above its highs made in April, October, November and December. Nearly everyone who bought the stock since last August is in the black.
In this one-year daily chart of AMGN, above, we can see a broad sideways trading range market or consolidation. Dips to $140 and below have been bought and rallies to $165 have been sold, until recently. Notice the bullish action of the On-Balance-Volume (OBV) line. The OBV line turns up in September as buyers of AMGN became more aggressive. Prices dip in January, February and into March and the OBV line only makes a shallow decline. Such a decline when prices are soft suggests AMGN longs have largely stayed with their positions. Throughout the past 12 months, AMGN has crossed above and below the 50-day and 200-day moving averages. The price strength for AMGN in July has turned the slope of both these averages positive. Momentum has slowed in the second half of July but it doesn't look to be a serious issue for the bulls.
In this three-year weekly chart of AMGN, above, we can see the long consolidation phase that has marked the price action since late 2014. Prices are above the rising 40-week moving average line. The OBV line on this weekly timeframe has been rising the past three years. The Moving Average Convergence Divergence (MACD) oscillator is bullish, with its recent move back above the zero line. There is some resistance above the market in the $170-$180 area but it does not appear to be significant as AMGN was only in this area for three weeks back in mid-2015. AMGN has already pushed halfway through this resistance area. It has not built a top pattern, so a decline, if it should occur, is probably only to come from some kind of key reversal. A close back below $165 would put an upside breakout in jeopardy.