The research-based biopharmaceutical company AbbVie (ABBV) is scheduled to report its latest quarterly numbers on Wednesday. In our last technical review back on December 7, we wrote that "The bulls are back in charge with ABBV. Prices are pointed higher. Trade ABBV from the long side risking to $114. The $133 area is our first price target."
Let's visit with charts again.
In this updated daily bar chart of ABBV, below, we can see that prices have been strong since our December update and reached our $133 price target. Prices dipped briefly towards the rising 50-day moving average line and rebounded. The slope of the slower-to-react 200-day line is positive.
The daily On-Balance-Volume (OBV) line shows strength from October telling us that buyers have been more aggressive than sellers. The Moving Average Convergence Divergence (MACD) oscillator is narrowing towards a fresh buy signal.
In this weekly Japanese candlestick chart of ABBV, below, we see a constructive-looking picture. Prices are in a longer-term uptrend above the rising 40-week moving average line. The weekly OBV line shows a 2-/2-year rise to confirm the price gains. The MACD oscillator is in a bullish move higher.
In this daily Point and Figure chart of ABBV, below, we see a price target of $201.
In this weekly Point and Figure chart of ABBV, below, we see that the software is projecting a target of $207.
Bottom line strategy: Traders who are long ABBV from early December have some nice gains. Raise stops to $128. I have no special knowledge of what ABBV will report on Wednesday but the charts and indicators are bullish so I would stay long. The $200-$207 area is our next price target.
