The charts of Teva Pharmaceutical Industries, Inc. (TEVA) have been in a five-year decline but it looks like aggressive buying is making a return to this name.
Let's check out the charts.
In the daily bar chart of TEVA, below, we can see that buyers have shown up in the $7-$6 area in August, September and October and again this March. Prices are above the rising 50-day moving average line and the rising 200-day moving average line.
The On-Balance-Volume (OBV) line has been rising for much of the past 12 months and suggests we are seeing some significant accumulation. The Moving Average Convergence Divergence (MACD) oscillator is rising and above the zero line.
Bottom-line strategy: It looks like TEVA is making a comeback. Aggressive traders could go long TEVA below $12 risking a close below $10. $16 is our first price target.