I grew up not far from the corporate offices of Johnson & Johnson (JNJ) . The parents of many of my high school classmates in the 1960s worked for the company. Decades later when our twins were born (unexpectedly) friends would buy us cases of diaper "seconds" from the company store -- a real budget saver.
Like millions of others we have used many of the company's products for years. Trying to be objective when looking at JNJ may be a bit of a challenge but let's check out the charts.
In this daily bar chart of JNJ, below, we can see a large "V-bottom" from February into March. The shares recovered very quickly and even notched a slight new high by late April. JNJ has traded to slightly lower the past four months. Prices have crossed below and above the sideways 50-day moving average line and tested the rising 200-day moving average line in late June.
After making a low in March the On-Balance-Volume (OBV) line has moved sideways. A rising OBV would be preferred but a sideways line is at least mirroring the price action. The Moving Average Convergence Divergence (MACD) oscillator has been "hugging" the zero line recently but looks like it can turn upward to a fresh buy signal.
