Boston Scientific (BSX) made a new 52-week high on Tuesday. Can this advance keep going?
Let's check the position of the charts and the condition of the indicators.
In the daily bar chart of BSX, below, I can see that share prices made a low back in June. BSX has rallied the past nine months and trades above the rising 50-day moving average line and above the rising 200-day line.
The On-Balance-Volume (OBV) line shows a rise from October and tells me that traders are being more aggressive buyers of BSX. The Moving Average Convergence Divergence (MACD) oscillator is in a bullish alignment above the zero line.
In the weekly Japanese candlestick chart of BSX, below, I see a mostly bullish picture. Prices are in a longer-term uptrend and trade above the rising 40-week moving average line.
The weekly OBV line shows strength from September and helps to confirm the price gains. The MACD oscillator is well above the zero line but the two moving average lines that make up this indicator have narrowed sharply. This condition can mean a turn up or down in the indicator could come quickly.
In this daily Point and Figure chart of BSX, below, I can see that prices just made a new high for the move up and refreshed the uptrend. A price target in the $59 area is shown.
In this weekly Point and Figure chart of BSX, below, I can see the same price target of $59 as shown on the daily chart above.
Bottom-line strategy: Unless dragged down by weakness in the broader market averages, I would look for shares of BSX to continue to trade higher. The $59 area is my next price target.
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