Speed Dating Amgen
- Posted by Greg Harmon
- on July 25th, 2013
Large Cap Pharmaceutical names have been hitting earnings out of the park and are being rewarded for it. But they are not all done reporting yet. That leaves an opportunity for one name that is reporting on July 30th after the close. Leading into that report there is an opportunity to profit ahead of the news. Let me explain.
After making a new high in April Amgen, $AMGN, pulled back and consolidated at the 94.50 area. As the calendar turned to July it started higher out of that consolidation until the stall the last few days. That stall, actually a Rising Three Methods pattern, is quite bullish. And with a level of 110 to trade against, it may be possible to extract some or all of a Measured Move higher to 121 before the report. The Relative Strength Index (RSI) is bullish and the Moving Average Convergence Divergence indicator (MACD) is rising. Many would not wait for the trigger over 110, but it will give an added measure of safety to your entry. If you are still holding into the earnings report, a long protective put or a collar can protect your gains. Happy dating!
Join the Dragonfly Capital Views Premium Membership
Want to learn more about Dragonfly Capital Views?
Dragonfly Capital Views Performance Through July 2013 Expiry and sign up here
If you like what you see above sign up for deeper analysis and trading strategy by using the Get Premium button above. As always you can see details of individual charts and more on my StockTwits page.
The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.blog comments powered by Disqus
Gregory W. Harmon CMT, CFA, has traded in the Securities markets since 1986. He has held senior positions including Head of Global Trading, Head of Product Development, Head of Strategy and Director of Equity. (More)
- Premium Earnings 6-30-15
- Premium Earnings 6-29-15
- Top Trade Ideas for the Week June 29, 2015: Bonus Idea
- Top Trade Ideas for the Week of June 29, 2015: The Rest
- Top Trade Ideas for the Week of June 29, 2015: The Rest Premium
- Top Trade Ideas for the Week of June 29, 2015: The Best
- SPY Trends and Influencers June 27, 2015
- Macro Week in Review/Preview June 26, 2015
- How Last Week’s Premium Top 10 Performed
- You bought a stock, now here is why you need to know options