Purchase of Johnson & Johnson (#JNJ) shares.
For the last 40 weeks, the MACD indicator line on the weekly timeframe chart has acted as a strong repulsive support for the price.
The last rebound occurred 3.5 weeks ago, and it was the strongest in these 40 weeks, with the simultaneous reversal of the Marlin oscillator from its zero line - the dividing line of the rising and falling trends. Let's take a look at the growth targets on the daily chart:
On the daily chart, the price broke out above the balance and MACD indicator lines, and the Marlin oscillator is also growing intensively. The first growth target is the 238.2% Fibonacci level at the price of 174.00, where the price was approaching on January 26. In case of overcoming the level, the next target will be the 261.8% Fibonacci reaction line at the price of 178.00.
Sale of the Walt Disney Company (#DIS) shares.
On the weekly chart, the price and the oscillator formed a divergence:
Let's look at the details on the daily timeframe:
The price has consolidated under the MACD indicator line, the Marlin oscillator is in the downward trend zone. The signal level of 181.00 plays an important role here, since only after it is overcome by the price, it is possible to open a sale. If there is no such level breakout, the price drift under the MACD line has the risk of being false.
The first target of the decline is the range of 171.00-173.00. Fixation under it opens the way to the January 27 low at the price of 160.51.
