Technical analysis: Will the Johnson and Johnson stock price continue retreating?

Dmitry Lukashov IFC Markets

Johnson & Johnson technical analysis summary

Sell Stop։ Below 166.95.

Stop Loss: Above 171.82.

Indicator	Signal
RSI	Buy
MACD	Sell
Donchian Channel	Sell
MA(200) Buy Fractals	Sell
Parabolic SAR	Sell
Fibonacci	Sell

Johnson & Johnson chart analysis

The technical analysis of the Johnson & Johnson stock price chart on daily timeframe shows #S-JNJ,Daily is falling after breaching below the 200-day moving average MA(200) and has fallen below a support. The RSI however is in the oversold zones. We believe the bearish momentum will resume after the price breaches below the lower Donchian bound at 166.95. This level can be used as an entry point for placing a pending order to sell. The stop loss can be placed above 171.82. After placing the order, the stop loss is to be moved every day to the next fractal high, following Parabolic indicator signals. Thus, we are changing the expected profit/loss ratio to the breakeven point. If the price meets the stop loss level (171.82) without reaching the order (166.95), we recommend cancelling the order: the market has undergone internal changes which were not taken into account.

Fundamental analysis of stocks – Johnson & Johnson

Johnson & Johnson announced it will discontinue talc-based baby powder in 2023. Will the Johnson & Johnson stock price continue retreating?

Johnson & Johnson is a United States corporation that develops, manufactures and sells various products in the healthcare field worldwide. Its market capitalization is $434.4 billion. The stock is trading at P/E ratio (Trailing Twelve Months) of 24.33 currently, company’s revenue (ttm) was $95.6 billion, while the Return on Equity (ttm) was 25.17% and the Return on Assets (ttm) at 8.9%. Johnson & Johnson has announced it will stop selling talc-based baby powder globally in 2023. J&J faces more than 40,000 lawsuits for its talc-based products, which allege that its talc products contain asbestos that causes cancer. J&J has established a $2 billion trust to resolve this claims, as well as allocated a royalty revenue stream with a present value of over $350 million to supplement the fund. The stock price closed down 1.1% over day after announcement.

Want to get more free analytics? Open Demo Account now to get daily news and analytical materials.

Author

Dmitry Lukashov

IFC Markets

Dimtry Lukashov is the senior analyst of IFC Markets. He started his professional career in the financial market as a trader interested in stocks and obligations.

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.