4 Trade Ideas for AbbVie: Bonus Idea

Here is your Bonus Idea with links to the full Top Ten:

AbbVie, $ABBV, comes into the week breaking up out of a short consolidation following a pullback from the all-time high print earlier in the month. That pullback retraced 38.2% of the last leg higher. It is at prior resistance at 206 with additional resistance at 210 and 215 before 219. Support lower is at 201 and 199. Short interest is low at 1.1%. The stock pays a dividend with an annual yield of 3.20% and will trade ex-dividend on April 15th. The company is expected to report earnings next on April 24th.

The April options chain shows biggest open interest at the 200 put strike, then 210 followed by 185 and 195. On the call side it is biggest at 210 then 195 and 220. In the May chain it builds from 210 to a peak at 190 then tails and holds through 160, on the put side. The call side is biggest from 210 to 230. Finally, the June options chain has open interest spread from 200 to below 150 on the put side and from 180 to 230, biggest at 230 and 210, on the call side.

AbbVie, Ticker: $ABBV

Trade Idea 1: Buy the stock on a move over 206.50 with a stop at 198.50.

Trade Idea 2: Buy the stock on a move over 206.50 and add a May 200/190 Put Spread ($3.20) while selling the May 220 Call ($2.30).

Trade Idea 3: Buy the April/May 220 Call Calendar ($2.00) while selling the April 197.50 Put ($1.90).

Trade Idea 4: Buy the June 195/210/230 Call Spread Risk Reversal (20 cents).

Premium Content

The Best

The Rest Premium

Free Content

The Rest

If you like what you see sign up for more ideas and deeper analysis using the Get Premium button above.   

After reviewing over 1,000 charts, I have found some good setups for the week. These were selected and should be viewed in the context of the broad Market Macro picture reviewed Friday which with just one trading day left in the 1st Quarter of 2025, saw equity markets show renewed weakness after a positive start to the week.

Elsewhere look for Gold to continue its record breaking drive higher while Crude Oil rises in consolidation. The US Dollar Index looks to continue to drift to the downside while US Treasuries pullback in their consolidation. The Shanghai Composite looks to consolidation in the short term uptrend while Emerging Markets continue a short term consolidation.

The Volatility Index looks to remain slightly elevated making the path easier for equity markets to the downside. Their charts look vulnerable on both timeframes. On the shorter timeframe the SPY if a bit stronger than the QQQ and IWM. On the longer timeframe all look set up for more downside. Use this information as you prepare for the coming week and trad’em well.