Viewers look forward to what Jim Cramer has to say about the stocks that callers offer up during the Mad Money Lightning Round segment. On Tuesday evening one caller asked about Livongo Health Inc. (LVGO) . "This is in the sweet spot of health technology," was Cramer's response.
Let's check out the charts of this data-based coaching program that enables people with diabetes to share blood glucose records with Certified Diabetes Educators (CDEs).
In the daily bar chart of LVGO, below, we can see all the trading history of this company since it went public in late July. Prices made an initial decline followed by a sideways consolidation and then the start of a new advance. Currently, prices are above the rising 50-day moving average line and we do not have enough price history for a 200-day average line.
The daily On-Balance-Volume (OBV) line largely went sideways until March and then it kicked into gear telling us that buyers of LVGO had become very aggressive. The Moving Average Convergence Divergence (MACD) oscillator is also bullish.
In the weekly bar chart of LVGO, below, we have a limited but bullish picture with a "W" pattern. Prices are pointing up with a rising OBV line and a bullish MACD oscillator on this longer time frame.
In this daily Point and Figure chart of LVGO, below, we can see the chart breakout at $32 and the upside price target of $47.
Bottom-line strategy: Those comfortable with trading new issues could probe the long side of LVGO on a dip toward $34 risking a close below $29. Our price target is $47 for now.