With all the commercials on TV it is hard not to remember that AbbVie ABBV is the manufacturer of Humira to treat rheumatoid arthritis and Crohn's disease. In our October 28 review I wrote that "Traders could look to buy ABBV around $150 risking to $140. Price targets are $163 and then $189."
Let's check the charts again as our $163 price target was reached.
In this updated daily bar chart of ABBV, below, we can see a bullish golden cross of the 50-day and 200-day moving average lines in December. The daily On-Balance-Volume (OBV) line shows a rise from early September to confirm the price gains.
The Moving Average Convergence Divergence (MACD) oscillator is in a bullish alignment above the zero line but the two moving averages are poised for a downward crossover and take profit sell signal.
In this weekly Japanese candlestick chart of ABBV, below, I see a mostly positive picture. The two most recent candles have upper shadows so that is a little cautionary but the trend is positive with prices above the rising 40-week moving average line.
The weekly OBV line shows improvement from September as traders shift to being more aggressive buyers. The MACD oscillator is pointed up from the zero line and is bullish.
In this daily Point and Figure chart of ABBV, below, we can see a $189 price target.
In this weekly Point and Figure chart of ABBV, below, we can see the same $189 price target as the daily Point and Figure chart above.
Bottom line strategy: Traders who are long ABBV should continue to hold those positions but raise stops to $155 from $140. $189 and then the round number of $200 are my price targets.
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