We looked at and reviewed the charts of Halozyme Therapeutics (HALO) on December 23 and wrote: "Continue to hold long positions but raise stop protection to $38 from $35. $48 and then $55 are our price targets."
Prices reached all of our price targets and have turned lower. Let' check on the trends again.
In this updated daily bar chart of HALO, below, we can see that prices reached our $48 price target in January and spiked quickly to our $55 target in late February. Prices have since weakened and have declined below the 50-day moving average line. The Moving Average Convergence Divergence (MACD) oscillator has fallen below the zero line for an outright sell signal.
In this weekly bar chart of HALO, below, we can see some sell signals. Prices have made a weekly close below the low of the high week. The weekly OBV line has turned lower and the MACD oscillator has crossed to the downside for a take profit sell signal.
In this daily Point and Figure chart of HALO, below, we can see a projected downside price target in the $34 area.
Bottom line strategy: I will assume that traders took profits on HALO on strength in the $48 to $55 area. HALO now looks like it can correct to the $34 to $30 area in the weeks ahead. Stand aside.
