ABBV rises to highest close since August 17, 2018
AbbVie Inc. (ABBV) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
Moving higher for the 2nd day in a row, ABBV ended the month 5.95% higher at 98.18 after gaining $1.74 (1.8%) today, slightly outperforming the S&P 500 (1.54%). Today's close at 98.18 marks the highest recorded closing price since August 17, 2018. The bulls were in full control today, moving the market higher throughout the whole session. Closing above Monday's high at 97.33, the share confirmed its breakout through the previous session high after trading up to $1.55 above it intraday.
Daily Candlestick Chart (ABBV as at Jun 30, 2020):
Tuesday's trading range has been $3.05 (3.18%), that's above the last trading month's daily average range of $2.51. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for ABBV.
Two candlestick patterns are matching today's price action, the White Candle which is known as bullish pattern and one bearish pattern, the Last Engulfing Top Pattern. The last time a Last Engulfing Top Pattern showed up on June 8th, ABBV actually gained 1.67% on the following trading day.
Prices are trading close to the key technical resistance level at 99.10 (R1). After having been unable to move lower than 95.68 in the prior session, the stock found buyers again around the same price level today at 95.83.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying might accelerate should prices move above the close-by swing high at 99.10 where further buy stops could get activated. With prices trading close to this year's high at 99.35, upside momentum might speed up should the market be able to break out to new highs for the year.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the Technical Indicators based market condition "RSI(2) above 80" stand out. Although it is usually interpreted as bearish, it has actually shown to be bullish for AbbVie. Out of 214 times, ABBV closed higher 54.67% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 61.21% with an average market move of 0.82%.