Last Friday evening, we observed a long-term chart of Johnson & Johnson as a stock up twenty weeks in a row. While the broad market has not enjoyed quite that type of uptrend, it has certainly been an impressive rally in 2013. And we have been looking at a “great sugar rush market,” as I called it.
Updating the JNJ weekly chart, below, you will note that price actually pushed to make a new high Monday through Wednesday, before selling finally set in as the stock finished lower by the time the week had ended. The subsequent weekly chart candlestick raises the issue of whether we have just witnessed a meaningful reversal not just in JNJ but also the major indices, printing their own respective mid-week reversals, as we head into the unofficial start of summer.
I will delve into that issue, and much, more more, including specific trading ideas and in-depth analysis, in my Weekly Strategy Session, set to be published on Sunday.
See you there.
Have a happy and safe Memorial Day weekend.
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