Bristol Myers Is Bucking Long-Term Resistance
Boring old pharma names like Pfizer and Johnson & Johnson have plodded higher lately. Bristol Myers Squibb may be following a similar course.
The first chart pattern on BMY is the steady uptrend along its 50-day simple moving average (SMA). Also notice how price fell into oversold territory on stochastics last week.
Next, consider the current price zone around $68-70. It's near the highs in January 2020 and February 2018, shortly below the coronavirus crash. Looking further back to August 5, 2016, we find a large bearish price gap with a top around $75. That may create the potential for a run toward the mid-70s if the current resistance gives way.
Finally, BMY trades for less than 10x forward earnings. That could be a positive in the current environment because value indexes are outperforming growth this month.
TradeStation is a pioneer in the trading industry, providing access to stocks, options, futures and cryptocurrencies. See our Overview for more.
The first chart pattern on BMY is the steady uptrend along its 50-day simple moving average (SMA). Also notice how price fell into oversold territory on stochastics last week.
Next, consider the current price zone around $68-70. It's near the highs in January 2020 and February 2018, shortly below the coronavirus crash. Looking further back to August 5, 2016, we find a large bearish price gap with a top around $75. That may create the potential for a run toward the mid-70s if the current resistance gives way.
Finally, BMY trades for less than 10x forward earnings. That could be a positive in the current environment because value indexes are outperforming growth this month.
TradeStation is a pioneer in the trading industry, providing access to stocks, options, futures and cryptocurrencies. See our Overview for more.