During Friday night's Mad Money program host Jim Cramer mentioned that there are some companies with confusing outlooks such as AbbVie Inc. (ABBV) , which acquired Allergan. Allergan's focus has been with Botox and cosmetic surgeries, which are also on hold.
Let's check out the charts of AbbVie, which is an Action Alerts PLUS holding.
In the daily bar chart of ABBV, below, we can see that prices retreated to the August lows before rebounding in recent sessions. Prices broke below the declining 50-day moving average line and the slightly declining 200-day moving average line. ABBV has rallied back toward the underside of the 200-day line and could stall around there or the underside of the late January low.
Trading volume increased in March and the daily On-Balance-Volume (OBV) line broke to a new low for the recent move down and showed a bearish divergence back in February when prices made new highs but the OBV line did not. The Moving Average Convergence Divergence (MACD) oscillator gave a cover shorts buy signal but has a lot of ground to recoup before testing the underside of the zero line.