• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Bruce Kamich
    • Doug Kass
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • Trifecta Stocks
  1. Home
  2. / Investing

The Charts of Tandem Diabetes Are Probably Headed Higher With This Subtle Clue

The market potential for TNDM is even greater worldwide.
By BRUCE KAMICH
Aug 08, 2019 | 02:29 PM EDT
Stocks quotes in this article: TNDM

In his final "Executive Decision" segment of Mad Money Wednesday night, Jim Cramer also checked in with Kim Blickenstaff, executive chairman at Tandem Diabetes Care (TNDM) , which posted strong earnings last week that sent shares up over 8% before giving back much of those gains by the close. Blickenstaff blamed the sudden reversal in their shares on global uncertainty. He said Tandem has no business in China and is in "acceleration mode."

Currently, only 30% of Type 1 diabetes patients are using a pump, Blickenstaff said, leaving a lot of room for growth for Tandem. The market potential is even greater worldwide, especially in Europe. Let's visit with the charts and indicators.

In this daily bar chart of TNDM, below, we can see some positive technical developments. While prices are below the declining 50-day moving average line they are above the rising 200-day line.

The daily On-Balance-Volume (OBV) line shows a rising trend from last August to March. The line declines slightly from March to June and then starts to firm again. Looking closely, the OBV line firms while prices go sideways to slightly lower for a bullish divergence.

The Moving Average Convergence Divergence (MACD) oscillator is below the zero line but poised for a turn higher, in my opinion.

In this weekly bar chart of TNDM, below, we can see that prices are above the rising 40-week moving average line. A decent base pattern can be seen in 2017 before the rally to $70.

The weekly OBV line is steady and the MACD oscillator is above the zero line and could soon cross to the upside.

In this Point and Figure chart of TNDM, below, we can see a possible downside price target of $54.69. A trade at $58.65 would probably weaken this chart but a trade at $64.78 would probably strengthen it.

Bottom line strategy: If you look at the dip in prices in April for TNDM you will notice that volume did not increase and the OBV line held steady - these are "tells" that TNDM will probably trade higher in the weeks ahead.

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

Employees of TheStreet are prohibited from trading individual securities.

TAGS: Investing | Stocks | Technical Analysis | Trading | Healthcare | Mad Money | Executive Interview

More from Investing

This Is No Market for Commitment

James "Rev Shark" DePorre
Jul 6, 2022 4:55 PM EDT

After Tuesday's rotational moves, Wednesday was choppy. Here's why this is not a time to make long-term trades.

This Won't Hurt a Bit: Moderna Could Rally 25% From Here

Bruce Kamich
Jul 6, 2022 2:59 PM EDT

The stock is ready to make a recovery rally.

Can You Spot a Rally Coming for Spotify?

Bruce Kamich
Jul 6, 2022 1:26 PM EDT

Let's see where investors can go long on SPOT, according to my read of the charts.

Move Over Minnie, I've Got a Love-Hate Relationship With Disney

Stephen Guilfoyle
Jul 6, 2022 1:00 PM EDT

DIS has been no day in the park for investors -- in fact, it's been acting more than a little Goofy lately. But I see this ride down starting to turn.

DoorDash Looks Ready to Make a Dash to the Upside

Bruce Kamich
Jul 6, 2022 12:35 PM EDT

Let's review the charts and indicators.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 12:01 PM EDT PAUL PRICE

    A Recent Director Buy in Children's Place (PLCE)

    Four of the most recent insider trades in Children...
  • 07:34 AM EDT PAUL PRICE

    A $525,000 Vote of Confidence on Macerich (MAC)

  • 09:49 AM EDT JAMES "REV SHARK" DEPORRE

    This Weekend on Real Money

    Stop Wishing, Hoping, and Praying and Take Control...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2022 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login