During Monday night's Mad Money program Jim Cramer looked ahead to some of the companies that are reporting earnings this week. On Wednesday, we'll hear from the financial firm, Goldman Sachs Group Inc. (GS) , an Action Alerts PLUS holding and a company Cramer said has the firepower to withstand the effects of the pandemic.
Let's check out the charts and indicators.
In the daily bar chart of GS, below, we can see that prices were nearly cut in half from January to March. GS rebounded into early June and has made a typical pullback the past four or five weeks finding support around $190 -- an area that was providing some resistance in April and May. The slope of the 50-day moving average line is positive while the 200-day moving average line still has a slight decline.
The trading volume was heavy from late February to early April suggesting a change in ownership. The On-Balance-Volume (OBV) line shows a strong move upward from late March telling us that buyers of GS have been more aggressive. This pattern is more positive than the up-and-down pattern of the OBV line on some other financial institutions.
The Moving Average Convergence Divergence (MACD) oscillator is back down to the zero line but poised to turn upward, I believe.
In this weekly close only Point and Figure chart of GS, below, we can see a potential longer-term price target of $305.
(Goldman Sachs is a holding in Jim Cramer's Action Alerts PLUS member club. Want to be alerted before Jim Cramer buys or sells GS? Learn more now.)