MRK looks good here up to 88. Safest entry is waiting on a retest of the channel around 80. Looks even better if you believe the market is going to sell-off after the fed cuts rates. Everything sells off in bear markets, but healthcare is a "safety" investment that typically a lot of people will put money into when the market starts to sell-off the first time off of ATH's. (2018 October and May 2019 for example)
Earnings are coming up though. Which means a high volume day either up or down. Being that we are sitting on the bottom side of this channel, be very careful not to get caught on an impulsive sell-off if that breaks. Being that all news is good news this earning season, this seems unlikely, but still possible.
*NOT Trade recommendations, Always do your own analysis!**
Earnings are coming up though. Which means a high volume day either up or down. Being that we are sitting on the bottom side of this channel, be very careful not to get caught on an impulsive sell-off if that breaks. Being that all news is good news this earning season, this seems unlikely, but still possible.
*NOT Trade recommendations, Always do your own analysis!**
MRK compared to the SPY
Still looks pretty strong here.