JNJ - 3 Day Timeframe - Area to load up??Hi guys welcome. The ideas expressed on this chart are my own opinions. This is not financial advice and i am not a financial advisor. Im a student of the charts and do this to improve my skills.
Anyway, i posted a JNJ chart last week on the Weekly timeframe. Mentioning how it could be a good time to buy some as we are touching up against the 200 week moving average and hitting some major support.
This chart is looking at JNJ on the 3D timeframe. Zooming in just a little bit. I will follow this with a daily chart next to zoom in even more.
Please note: The current candle on 3D will close on the 24th. So this current move is not yet finished and i believe we could touch the support line again or even wick down below. But as coinciding with the 200 Week moving average on the Weekly timeframe, this if history is any indication generally a good time to get some exposure. (please check the weekly JNJ chart below).
So like the previously posted chart on weekly, ive circled in green some instances in the past where it was essentially a good swing trade entry point. It can also be an area to load up for investing since long term trend is up and it being a dividend stock and all....... (this is not financial advise!)
For this chart, the story is told in the indicators ive provided.
From top to bottom:
1. STOCH RSI - momentum indicator
2. MACD - momentum indicator
3. RSI - supply/demand indicator
The RSI to me sticks out the most, as we are below the 20 level and the most "Oversold" we have ever been since March 2020, (coinciding with my weekly chart of the price action going below the 200 wma briefly).
To add confluence and support to this idea, i added the other 2 indicators to show oversold momentum areas. And all 3 indicators mimic'd similar patterns to those past instances.
The conditions that need to be met simultaneously to buy:
1.on 3D timeframe:
1. RSI below 20 level
2. MACD below 0 level, red bars
3. STOCH RSI below 20 level
4. Price action below 200 dma on 3D timeframe
2. on weekly timeframe:
Price action (candles) touching or below the 200 week moving average
I like this current area as not only are we touching the 200 weekly moving average, we are hitting some major support. (Check out my weekly chart for more info on this)
Make sure to check it out yourself on your charts! Let me know what yall think. Please comment, like, & follow if you liked this analysis. Remember to trade responsibly, to set up your own strategies and to protect yourself with stop loss.
Disclaimer: This is not financial advise, i am not a financial advisor. This info is only my own opinion on the matter of TA.
