Here's what Jim Cramer had to say about Cigna Corp. (CI) during the "Mad Money" Lightning Round on Monday evening: "I want you to buy some more. This is the right level." Let's see how the charts are shaping up today.
In this daily bar chart of CI, below, we can see some positive developments. CI has rallied above the bottoming 50-day moving average line. Buyers of CI have been using weakness to, and below, $150 since April. The daily On-Balance-Volume (OBV) line looks like it is about to break its four-month downtrend. The Moving Average Convergence Divergence (MACD) oscillator is close to crossing above the zero line for an outright go long signal.
In this weekly bar chart of CI, below, we can see a mixed picture. Prices are below the declining 40-week moving average line, but prices have stabilized and the weekly OBV line is poised to turn up. The weekly MACD oscillator is close to a crossover to the upside from below the zero line. This would be a cover-shorts buy signal.
In this Point and Figure chart of CI, below, we can see a projected upside price target of $181. A decline to $143.60 would weaken this chart.
Bottom line strategy: CI looks poised to break its six-month downtrend and rally to the low $180-area. Traders could probe the long side of CI below $160, risking to $143 while looking for gains into the $180-$190 area.