We reviewed the charts and indicators of Biogen (BIIB) on April 16 and wrote that "Traders could go long BIIB here and on strength while risking to $255. The $340 area is our first price objective."
Prices soared sharply higher on Monday as traders reacted to approval for its Alzheimer drug, so some new targets and stop loss recommendations are needed.
In this updated daily bar chart of BIIB, below, we can see that prices exploded sharply higher. Prices are well above the 50-day and 200-day moving averages. The On-Balance-Volume (OBV) line has turned sharply higher and so has the Moving Average Convergence Divergence (MACD) oscillator.
In this weekly bar chart of BIIB, below, we can see that prices have broken out over several years of highs. The weekly OBV line has turned up sharply and the MACD oscillator is bullish.
In this daily Point and Figure chart of BIIB, below, we can see that prices reached and exceeded a $403 price target.
In this weekly close only Point and Figure chart of BIIB, below, we see that the software is projecting the $869 area as a potential price target.
Bottom line strategy: Traders who went long BIIB on our April recommendation should continue to hold those shares. Raise stops to your purchase price. The $869 area is our long-term price target.
