Trade of the Day - AbbVie Inc. (NYSE: ABBV)
21 Mar 2024Trade of the Day
AbbVie Inc. (NYSE: ABBV)
(Current Price: US$176.27) – TECHNICAL SELL
Sell price: US$176.27 Stop loss: US$182.00 (-3.25%)
Take profit 1: US$168.00 (+4.69%) Take profit 2: US$163.00 (+7.53%)
(1) & (2): AbbVie Inc. is expected to see a further pullback in its price after breaking down an uptrend channel it was trading in. This was following a false breakout above the US$180.00 level with a double top formation, which provides a bearish signal
(3): The Moving Average Convergence Divergence (MACD) & Relative Strength Index (RSI) technical indicators support the bearish view with bearish divergence signals and decreasing momentum, while the price was moving higher
We expect the price to pull back further towards take profit level 1 at US$168.00 to retest a previous horizontal resistance breakout level in February
The price could trade lower towards take profit level 2 at US$163.00 to retest a previous horizontal support level in January
The expected timeline of the trade is 2-8 weeks from the date of report issuance
This counter is available for CFD trading
About the author
Zane Aw
Technical Analyst
PSR
I analyze the stock market and conduct technical analysis to provide investment recommendations. I look forward to having a conversation with you in our in-house seminars and presentations to identify good risk-reward trading strategies together. I graduated from Nanyang Technological University with a Bachelor of Accountancy (Honours).
About the author
Zane Aw
Technical Analyst
PSR
I analyze the stock market and conduct technical analysis to provide investment recommendations. I look forward to having a conversation with you in our in-house seminars and presentations to identify good risk-reward trading strategies together. I graduated from Nanyang Technological University with a Bachelor of Accountancy (Honours).