Shares of Walgreens Boots Alliance ( WBA) have turned lower in recent weeks. Let's check out the charts and indicators to see what is going on after the company's latest earnings report.
In the daily bar chart of WBA, below, we can see that the shares have rolled over the past four months or so. WBA is trading below the declining 50-day moving average line. The rising 200-day moving average line intersects around $47 and could be tested in the days ahead.
The On-Balance-Volume (OBV) line has been in a decline for the past 12 months. The Moving Average Convergence Divergence (MACD) oscillator has moved below the zero line for an outright sell signal.
In the weekly Japanese candlestick chart of WBA, below, we see a deteriorating picture. Prices are pointed down for a test of the rising 40-week moving average line.
The weekly OBV line shows a peak in early February followed by an uneven decline. The MACD oscillator has crossed to the downside for a take profits sell signal.
In this daily Point and Figure chart of WBA, below, we can see that prices are in a down column with a price target in the $47 area.
In this weekly Point and Figure chart of WBA, below, the $39 area is projected as a potential downside price target.
Bottom-line strategy: back on March 16, we recommended that "Aggressive traders could buy a one or two-day shallow dip on WBA and risk a close below $52. The $74 area is the price target." Traders should have been stopped out with the close below $52. Stand aside for now and let WBA decline.
