I bought JNJ at $125 mainly because it seemed like it would have a strong bounce back considering the reason why the market crashed in the first place.
Looking at the broader market, this may be a consolidation period. Although, we have a lot of sell signals right now.
1. 10/21 EMA sell signal
2. Weak Buying Power
3. Double Top? Would only confirm if it breaks the lows in march. So we are really far from that but that would be very bearish if so.
4. Rising Wedge post downtrend. Not the most reliable signal.
The better question is the bull flag scenario. Is this a bull flag? With the rest of the market pushing higher, I almost believe that it is. Either way, I bought it for the LONG considering how solid of a company it is (and will only become stronger after this).
Looking at the broader market, this may be a consolidation period. Although, we have a lot of sell signals right now.
1. 10/21 EMA sell signal
2. Weak Buying Power
3. Double Top? Would only confirm if it breaks the lows in march. So we are really far from that but that would be very bearish if so.
4. Rising Wedge post downtrend. Not the most reliable signal.
The better question is the bull flag scenario. Is this a bull flag? With the rest of the market pushing higher, I almost believe that it is. Either way, I bought it for the LONG considering how solid of a company it is (and will only become stronger after this).