In this daily bar chart of BHC, below, we see a stock that is trading like traders and investors do not have a strong bullish conviction in the short-run. Prices are above the rising 50-day moving average line and bullish 200-day line, but that is not the whole story. The moving averages may have a positive slope but that is not the whole story.
The daily On-Balance-Volume (OBV) line dips in November and December with the weaker price action and makes a partial recovery in January. The OBV line trends sideways this month signaling to me that there is no strong conviction nor aggressive buying ahead of Wednesday's report.
The trend-following Moving Average Convergence Divergence (MACD) oscillator has rolled over to a take profits sell signal. BHC could surprise on the upside but the studies suggest that traders are not buying aggressively ahead of the quarterly numbers.
In this weekly bar chart of BHC, below, we used a "log scaling" to better show the price action the past three years. BHC is above the rising 40-week moving average line but the volume has dried up the past several months suggesting that strong accumulation is absent.
The weekly OBV line is slightly positive and a new high would be a positive should it happen.
The MACD oscillator is hugging the zero line and is of little use right now.
In this Point and Figure chart of BHC, below, we see a potential upside price target of $31.61 but a rally and trade at $26.19 is needed to improve the chart picture.
Bottom line strategy: Traders look like they have taken a neutral to bearish stance ahead of earnings. I certainly have no special knowledge. Traders looking to go long BHC should wait for a pullback to around $23 if available. If prices do not dip then probe the long side above $26.19. The weekly chart looks positive but I would only look to buy strength above $26.19. Risk to $24.68.