JNJ stock price bottomed out in April 2023 to shift its long-term trend to an uptrend and the stock surged to form an ascending triangle pattern over the daily chart. The stock price declined to consolidate near the lower trendline of the ascending triangle pattern.
The quarterly results of the stock outperformed the estimates of the analysts, post which the stock experienced an upthrust and made a breakout of the trendline with high volume. The company posted quarterly results with 3.64% more revenue and a surprise of 7% in the earnings which fueled the stock price.
Recently, the stock made a dip, the investors took the dip as an opportunity and entered the market to push the price higher.
Johnson & Johnson (NYSE: JNJ) is a diversified company that offers pharmaceuticals, medical devices, and consumer products. Its diversification helps it to cope with economic fluctuations. J&J invests heavily in R&D to innovate and develop new products. J&J’s business is split into three segments: Pharmaceutical, Medical Devices, and Consumer.
JNJ stock option-chain analysis states that the current implied volatility in the market is 21.15% with an increment of 1.03% in the last trading session. The at-the-money strike price has 11,242 open contracts on the put side and 8,795 open contracts on the call side indicating the dominance of buyers at the current level. The PUT/CALL ratio is 1.04 indicating that buyers dominating at the moment as per the data.
JNJ Stock Price Taking Rest After A Trending Phase.
The JNJ stock price currently trades at $172.49 and consolidates near the previous swing high possibly taking rest before the next trending move.
The short-term outlook for the stock is neutral to bullish as the stock has made a pullback and consolidated. The stock may again show a trending move if breaks above the consolidation.
Also, if the stock breaks below the consolidation it may again decline to take a pullback and seek for buyers volume to enter the market at the lower levels.
The long-term trend is in a strong uptrend at the moment. The stock may show some dip in the short term to resume its trend in the long term.
The EMAs Showing A Golden Crossover On the Daily Chart.
The daily JNJ stock price chart shows that the price is trading above 50 and 200 EMA indicating a strong uptrend in the long term. The overall Technical Opinion rating including RSI and MACD is signaling a 88% buy with the Neutral short-term outlook on maintaining the current direction.
Conclusion
JNJ stock price prediction concludes that the stock price rose after quarterly results beat estimates and broke out of an ascending triangle pattern. The stock is consolidating near the previous high and may resume its uptrend if it breaks above it. The stock may also decline if it breaks below the consolidation and seek buyers at lower levels. The short-term outlook is neutral to bullish and the long-term trend is strong.
Technical Levels
- Support levels: $166.18 and $160.64.
- Resistance levels: $175.42 and $180.59.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/08/19/jnj-stock-price-analysis-is-earning-fueled-trend-over-now/