Amgen (AMGN) is one of these stocks that is leading year-to-date, but lagging over the last three months. Year-to-date, the stock is up around 25% and the S&P 500 SPDR is up around 22%. Over the last three months, the stock is down around 4% and the S&P 500 SPDR is up around 7.5%. It has been a rough quarter for Amgen, but the overall chart looks bullish and the recent correction may be ending. AMGN hit a new high with a big surge in September and then fell all the way back to the August low in November. The stock ultimately held this low and the 50-day EMA remained above the 200-day EMA. Thus, the long-term trend is still up.
Shorter term, the stock surged to 180 with pretty good volume and then formed a pennant. There was another high-volume advance within the pennant and the stock is making a breakout bid now. Pennants are short-term continuation patterns and a breakout would target a move towards the September high. A close below 174 would argue for a re-evaluation.
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