J&JOHNSON, Flag-Formation Confirmed, Continuation Possible!Hello Traders Investors And Community, welcome to this update-analysis about JOHNSOHN & JOHNSON stock value 4-hour timeframe perspectives where I made an analysis some time ago and therefore we look at the confirmational events happened, the current structure and what to expect next times from this stock. The bull-flag I mentioned in the initial analysis now fully confirmed to the upside and the wave-count ended at the 800-EMA which provided the starting point to break out of the bull-flag and form these nice impulses where the first bull-flag-target will be reached soon at the 155.5 level which is slightly above the all-time-high, as this is an important zone where also supply can enter the market I detected the importance in the current structure we should consider now to anticipate where the journey for this stock is heading.
In my chart, you can watch that the stock is just to complete its second impulse to the upside which is ending at the first bull-flag-target at 155.5 and above the all-time-high-condition, this level is crucial in many places as this can turn out the be a possible bull-trap as supply entering the market, normally what happens when the market approaches such key-levels is minium a correction when not bigger pull-back before backing up and approaching the level again. When the stock shows up with this likely scenario we can expect the pull-back to go to the 100-EMA marked in my chart in green where the stock can stabilize and gain strength in sideways movement before moving up to form a breakout which can confirm the further bullish rising, in this case, it is important that the stock moves above the established all-time-highs with great volatility.
Overall the stock has established some decent and solid bullishness here where it is also trading above the EMAs mentioned important to determine the strongness of stocks in the current mixed market situation, only when the stock crosses below the 100-EMA this can invalidate the bullish scenario, nevertheless, there is a higher possibility given that this support will hold sustainable and new highs will be seen which will activate the middle and long term bull-flag-target. Compared to other stocks and the main market JNJ is in a more bullish situation where many others still trading way below the pre-corona all-time-highs and looking rather weak then strongly bullish, we will see how this situation will develop in this stock-value here, overall the bullishness can go on further after the correction has settled in and the stock gained more strength to form a solid breakout.
In this manner, thank you for watching, support for more market insight, all the best!
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Information provided is only educational and should not be used to take action in the markets.
