MRCK34 trade ideas
Ascending Broadening Wedge Sets Up Positive Risk: Reward Ratio With market internals showing signs of weakness and less and less mega pharma co.'s hitting new highs, FlashPoint Trading Academy has been on the hunt for a good shorting opportunity.
We've made plenty of money trading Merck to the long side and now its time to reverse our position. As you can see by the above chart pattern, MRK's price action has formed an Ascending Broadening Wedge Pattern. The April high should prove difficult to breach to the upside which is approximately 3 points away. On the other hand, a push below the rising blue trend line could send MRK spiraling back to support, $10 points away. 1:3 Risk to Reward.
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MERK LONG UNTIL THE 200 DAILY SMA SUPPORT THE PRICESRSI in ipersell and prices stopped by 200 daily SMA. From this level is higly possible a reaction. Stop loss on the minimum of the last candle.
MRK needs to find support - what to look forHey everyone,
Moving away from the typical crypto posts today.
We are checking out MRK.
This stock has seen some hefty losses in the past few days, pushing the RSI into a oversold area
The increasing bear volume has not been supportive, and the price is breaking past the .382 fib level.
The stock is looking to find support, but the last few days have not shown any. Before entering into this long position, we need to see some consolidation on price and bullish movement.
Increasing bear volume after a week of losses is also not supportive of increasing price levels.
The RSI will need to cool off towards the 40-45 range before we can see some bullish movement.
After consolidation, wait for price to retreat to a newly made bullish fib level, signaling a new trend.
Once a new high is made, it opens the stock up to a head and shoulders pattern, pointing south again. We would need to see bullish divergence either from volume or from the RSI to bring price higher after this.
As is, we are in a bear movement that could pose a falling knife until proper support forms.
What do you think? Where could we support form?
-Block
Merck & Co # MRKthree months long bias.
expecting bigger retracement to the origin of the move.
waiting for new areas of demand on the weekly to be created or long at the fresh area of demand around 60 dollar a share
MRK- Donchian Channel Breakout- Buy signalEarnings winner on Keytruda sales. In @ $77.00. Tight stop - half the way down on today's candlestick ~ $76.49. (I am not about to lose money on this one-much). Has support at $76.50 ish. Nice long strong uptrend, hopefully the momentum will last. Will close after a 2-3 day swing. Will trail stop @ the 3 ema if it continues up - surfing the wave. Target could be $80, about a 3.5R trade.
Confirmation: RSI and stoichastics up - hopefully previous chop will resolve now that earnings is done.
Merck & Co. ... & Health & MedsThe stock appears to have formed a double wedge. It has gone up through 2018 and showed great resistance to market volatility. It has a great chance of breaking upper wedge and reach up the 52-week high.
Remember that earnings date is coming and this may be the good catalyst for confirmation of the breakout which will probably happen before earnings.
MRK in a bullish flag patternI think MRK will continue to go up to $79 -$80 from its current price as it is currently in a consolidation status.
MRK Approaching Support, Potential Bounce! MRK is approaching our first support at 66.70 (horizontal overlap support, 100% fibonacci extension, 50% fiboancci retracement) where a strong bounce might occur above this level pushing price up to our major resistance at 74.94 (50% fibonacci retracment, 61.8% fiboancci extension).
Stochastic (21,5,3) is also approaching support where we might see a corresponding bounce in price.
Low risk setup for MRKWhy is this setup good?
Strong contextual uptrend
Price continues moving in the direction of main trend since it bounced at support EMA(100) and EMA(50)
Momentum building on MACD 12-26, MACD signal line crossed the 0 line
First reaction (contraction) since MACD crossover
Trigger Candle testing EMA 3, 6 and 18
Low Setup Risk - just 1.29% in risk
Entry rules:
Buy Stop order or Manual Buy at 79.58 at the next interval(candle) open
Cancel the order at the end of the day if 79.58 does not get triggered
Stop Loss (S/L) level at 75.26 (adjust position size accordingly, don't risk more than 3% for your current account balance)
Trade management
-Move S/L to break-even when price CLOSES above 76.70
Exit rules:
-Target 79.58 (Risk-Revard ratio ~3.41)
MRK - SHORTHead and shoulder pattern, right shoulder looking like it is currently in formation. Currenly prices are right at previous resistance and support. If 76.38 is bounced from, short target is at the next level of support at 72.78
RSI and Stoch indicate market is strongly over bought, which further point toward a short play being the case over the next few days.
MRK ShortShort based of channels and fibs
My Entry: 75.07 (any entry under 75.00 is okay)
Stop Loss: 78.00
PT: 61.00 area
Risk/Reward: ~1:7
This trade has a low probability of working, but it does fit my system, and if it moves in my direction the reward is very high. This trade will most likely take 6 months to a year.
MRK more upsideMRK shares are gaining alongside very bullish buy signals. This + a very strong sector should add to the momentum for higher share prices.
DISCLOSURE: long MRK
