MRK is bouncing of the trend line.Long time trend line is supported, and MACD divergence in play. Trade with care as the stock closely correlates with DOW and SPX500. They are both pointing south though.
MRK
DOW JONES OVERVIEW: MRK IN MACRO UNCERTAINTY, ON MICRO RISKMerck fell into uncertainty on long term basis, but is on risk to fall on short term perspective.
On long term perspective price is now in lateral range after it failed 10-year uptrend, by falling below 1st standard deviation from 10-year mean @ 54.65 (now the range upper border). The lower border of the macro lateral range is marked by 5-year mean, standing now at 46.50 - MRK has tested and held this level during the august selloff.
On short term basis price is now trading below 1st standard deviations from 1-year and quarterly means, which are aligned with the 1st standard deviation from 10-year mean. It means that as long as price is below 54.65, there is ongoing risk of further decline and retest of the 5-year mean!
