Cerner Corp. (CERN) is poised for further gains in the weeks ahead. The stock has already rallied from $48 back in December to $73 recently, but with the charts and indicators looking strong, we should see higher prices ahead. Let's check the latest charts.
In this daily bar chart of CERN, below, we can see a strong move higher with our favorite technical indicators confirming the move north. The price of CERN is above the rising 50-day moving average line and the rising 200-day line. There is a bullish golden cross of the 50-day and 200-day averages back in late April.
The On-Balance-Volume (OBV) line rose strongly with the price action from January to June and when CERN corrected lower the OBV line hardly dipped. The rise in the OBV line was a sign of accumulation and aggressive buying and the shallow decline tells us that longs held those positions. The Moving Average Convergence Divergence (MACD) oscillator has spent much of the past year above the zero line as it now. The MACD oscillator looks poised to turn upward for a fresh outright go long signal.
In this weekly bar chart of CERN, below, we can see that prices are back up near their 2015 highs. Prices are above the rising 40-week moving average line. The weekly OBV line has been moving higher since early 2017 and the MACD oscillator is in a bullish configuration.
In this Point and Figure chart of CERN, below, we can see an upside price target of $91. A rally to $74.46 would be a minor upside breakout.
Bottom line: I would go long CERN at current levels and on strength. Risk a close below $68 and look for gains to the $90 area in the months ahead.