• Investing
  • Stock
Round Table Thoughts
  • Economy
  • Editor’s Pick
Home Stock A Biotech Stock with a Breakout on the Weekly and a Classic Retracement on the Daily
Stock

A Biotech Stock with a Breakout on the Weekly and a Classic Retracement on the Daily

by January 20, 2024
by January 20, 2024 0 comment
Share
0
FacebookTwitterPinterestWhatsapp

This week’s analysis will stick with the multiple timeframe approach. Today we are featuring a biotech stock with a channel breakout on the weekly chart and a classic retracement on the daily chart. Moreover, a larger bullish reversal pattern could be forming on the daily chart.

The weekly chart below shows Biogen (BIIB) in a long-term downtrend, but showing early signs of a bullish reversal. Note that BIIB is part of the Healthcare SPDR (XLV) and the Biotech ETF (IBB), both of which are leading the market since late October. On the price chart, BIIB surged in September 2022 and broke resistance. The stock continued higher into July 2023 and then fell into October 2023. This decline formed a falling channel (blue trendlines) and returned to the breakout zone (green shading). Notice that BIIB held above the 2022 lows (green dashed line) and broke the upper line of this channel with the advance in late 2023. This is promising price action.

The indicator window shows the percentage difference between the close and the 40-week SMA. Note that this indicator is part of the TIP Indicator Edge Plugin for StockCharts ACP. There are signal thresholds at +5% and -5% to reduce whipsaws. An uptrend signaled with the breakout in September 2022 as the indicator exceeded +5% (green arrow). The uptrend remained until the indicator moved below -5% in July 2023 (red arrow). A move above +5% would turn it bullish again. Even though this trend-following indicator has yet to trigger, I am also seeing promising price action on the daily chart. The stock is trading in a potential reversal zone on the daily chart and a classic bullish reversal pattern could be taking shape.

This section continues at TrendInvestorPro Members (here). The Chart Trader offering at TrendInvestorPro provides broad market analysis and carefully curated trading setups for stocks and ETFs. We focus on bullish continuation patterns. Reports are published every Tuesday and Thursday before the open and each report includes a video. Click here to learn more.

//////////////////////////////////////////////////

You Might Also Like
  • Odd or Resilient? European Banks
  • Watch Out! Growth Stocks Can Be Threatened in a Rising Rate Environment
  • Unlocking Strong AI Investments: You Need To Analyze These ETFs
  • Bullish Breadth Improvement Suggests Further Upside For Stocks
Share
0
FacebookTwitterPinterestWhatsapp

previous post
Don’t Ignore This Unusual Event on the Market’s March to New Highs
next post
Sanders targets pharma CEOs to testify in Senate, but some see ‘retaliation’ for lawsuit against Biden admin

You may also like

Scanning Made Easy: A Beginner’s Guide to Custom Scans

April 7, 2023

Your Selling Methodology is Your Paramedic to Profits

March 1, 2024

Gaining an Edge in a Tough Trading Year

April 20, 2023

Watch Out! Growth Stocks Can Be Threatened in a Rising...

July 28, 2023

Stocks Tentatively In a Trend but Could Face Pressure

February 23, 2023

Analyze This: Will the Dow Will Soar or Crash in...

June 20, 2024

Stock Picks from the 2023 Market Outlook

May 9, 2023

The Halftime Show: Screening for the Strongest Oversold Bullish Stocks

July 11, 2023

Salesforce Falls Out of Favor: Trade the Bear Put Spread...

May 14, 2024

The Best Leading Indicator for Stocks

March 22, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Breakouts, Momentum & Moving Averages: 10 Must-See Stock Charts Right Now

      May 31, 2025
    • Leadership Rotation Could Confirm Corrective Phase

      May 30, 2025
    • Run Your Stock Portfolio Like a Pro Sports Team

      May 30, 2025
    • U.S. foreign tax bill sends jitters across Wall Street

      May 30, 2025
    • Amazon taps Xbox co-founder to lead new team developing ‘breakthrough’ consumer products

      May 30, 2025

    Popular Posts

    • 1

      Trump-era China sanctions ended by Biden may be...

      June 27, 2024 2,765 views
    • 2

      Walz’s honeymoon with China gets fresh scrutiny as...

      August 9, 2024 2,472 views
    • 3

      Biden appointee played key role in recruiting Chinese...

      June 25, 2024 2,451 views
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful...

      July 10, 2024 2,432 views
    • 5

      Harris VP pick spent years promoting research facility...

      August 29, 2024 2,308 views

    Categories

    • Economy (7,009)
    • Editor's Pick (2,106)
    • Investing (538)
    • Stock (2,581)

    Popular Posts

    • 1

      Trump-era China sanctions ended by Biden may be revived under new House GOP bill

      June 27, 2024
    • 2

      Walz’s honeymoon with China gets fresh scrutiny as Harris camp blasts ‘lying’ critics

      August 9, 2024
    • 3

      Biden appointee played key role in recruiting Chinese businesses to Delaware: ‘Longtime friends’

      June 25, 2024
    • 4

      Shein’s global ambitions leaves some cybersecurity experts fearful of Chinese spy threats

      July 10, 2024
    • 5

      Harris VP pick spent years promoting research facility that collaborated with ‘Chinese military company’

      August 29, 2024

    Latest News

    • Breakouts, Momentum & Moving Averages: 10 Must-See Stock Charts Right...

      May 31, 2025
    • Leadership Rotation Could Confirm Corrective Phase

      May 30, 2025
    • Run Your Stock Portfolio Like a Pro Sports Team

      May 30, 2025

    Categories

    • Economy (7,009)
    • Editor's Pick (2,106)
    • Investing (538)
    • Stock (2,581)

    Disclaimer: RoundTableThoughts.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 RoundTableThoughts.com. All Rights Reserved.

    Round Table Thoughts
    • Investing
    • Stock
    Round Table Thoughts
    • Economy
    • Editor’s Pick

    Read alsox

    SPY Has a Clear Level to...

    January 21, 2023

    Week Ahead: NIFTY Travels A Weak...

    June 17, 2023

    QQQ Breaking Out Again; Watch This...

    November 10, 2023
    Sign In

    Keep me signed in until I sign out

    Forgot your password?

    Password Recovery

    A new password will be emailed to you.

    Have received a new password? Login here