• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Doug Kass
    • Bruce Kamich
    • Jim Cramer
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • Trifecta Stocks
  1. Home
  2. / Investing

Amgen Gets Shot in the Arm, Could Bounce Up in Months Ahead

AMGN appears to have taken a turn for the better and is now looking at targets of $254 and $270.
By BRUCE KAMICH
Dec 03, 2019 | 02:24 PM EST
Stocks quotes in this article: AMGN

During "Mad Money" Monday night on the Lightning Round, a caller asked about Amgen Inc. (AMGN) .

"This is a much better company than it was just six months ago," said Jim Cramer.    

Let's check out the charts of AMGN. 
 
In this daily bar chart of AMGN, below, we can see a wide base pattern from last December to the end of October. Since the end of October prices have broken out to the upside. A pullback to the rising 200-day moving average line in early October was in hindsight a buying opportunity.
 
Prices are above the rising 50-day moving average line and perhaps extended above the rising 200-day line. A bullish golden cross can be seen in August when prices were still in the base formation. The On-Balance-Volume (OBV) line has been leading the way higher since May and confirms the price strength with its signs of aggressive buying. The Moving Average Convergence Divergence (MACD) oscillator moved above the zero-line in early October for an outright go long signal.  
 
 
In this weekly bar chart of AMGN, below, we can see that prices have broken out on the upside from an approximate two-year consolidation pattern. Prices are above the rising 40-week moving average line. The weekly OBV line has been strong since early 2018 and suggests a long period of accumulation. The weekly MACD oscillator gave a buy signal in August.  
 
 
In this first Point and Figure chart of AMGN, below, we can see a $254 price target being projected.  
 
 
In this second Point and Figure chart of AMGN, below, we used weekly data and here the chart suggests a longer-term price target of $270. 
 
 
Bottom line strategy: Traders can go long AMGN at current levels if they can risk a close below $220 for now; $254 and then $270 are our upside price targets.
Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

Employees of TheStreet are prohibited from trading individual securities.

TAGS: Investing | Technical Analysis | Pharmaceuticals | Mad Money

More from Investing

Let's Take a Closer Look at Zoom Video's Charts

Bruce Kamich
Jan 21, 2021 8:58 AM EST

My gut says to continue to defer purchases of ZM.

Trade Carefully With Soaring Gritstone Oncology

Bruce Kamich
Jan 21, 2021 8:16 AM EST

The history we are concerned about is the past couple of weeks.

Rotation Back to FATMAAN Stocks Provides Strong Market Support

James "Rev Shark" DePorre
Jan 21, 2021 7:20 AM EST

This action indicates that the institutional and big money is afraid of missing out.

The Either/Or Market Strikes Again

Helene Meisler
Jan 21, 2021 6:00 AM EST

Here we go again as big-cap tech rallied and much of the rest sat it out.

Tech Gives Push to Market's Rotation

James "Rev Shark" DePorre
Jan 20, 2021 4:49 PM EST

Money moved back into big-cap technology names, thanks to strong positive reactions to earnings from Netflix.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 08:35 AM EST GARY BERMAN

    Thursday Morning Fibocall for 1/21/2021

    SPX (Long-Term View) The 1/20/21 NEW high @ 3859...
  • 11:38 AM EST CHRIS VERSACE

    Best Stocks to Buy for the Biden Presidency

    President-elect Biden's massive stimulus plan, int...
  • 08:07 AM EST GARY BERMAN

    Wednesday Morning Fibocall for 1/20/2021

    SPX (Long-Term View) The 1/8/21 high @ 3826.69 i...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2021 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

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.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login