- Seagen has not traded above the $205 level for 2 years.
- Price action honing in on likely support at $204.45
Stable at $205 and still trending upwards, Yesterday's session put the brakes on the ongoing uptrend — after closing Tuesday at $204.89, Seagen closed at $205 yesterday after climbing to $206.2 and dropping back down.
The stock has been trending positively for about 4 months. The biotechnology company has gained 59.34% since its lowest print of $108.81 earlier this year.
Technical analysis of Seagen's past price action reveals multiple support and resistance levels: Seattle Genetics Inc is approaching key support, around 55 cents away from $204.45. Dipping below could indicate further losses are ahead while a failure to break below this level is likely to be seen positively by market bulls. Trend analysis indicates that the Commodity Channel Index (CCI) indicator is above +100, meaning the market price is unusually high compared to the rolling average. Momentum evaluation shows that the Relative Strength Index indicates Seagen is currently 'overbought' which suggests new gains will be harder to obtain. Asset volatility analysis shows that Seagen's upper Bollinger Band® is at $212.84, suggesting that a downward move may follow.
Notwithstanding Seagen's appreciation in recent days, the technical outlook suggests its bullish run is now fading.
Fundamental indicators – United States Crude Oil Inventories released earlier showed a marked improvement to -3.74 million from the preceding data of -7.49 million, but fell short of the -2.33 million figure forecast by a consensus of market analysts.
Meanwhile, mixed performances were seen by other health care stocks as Johnson & Johnson was up 4.49%. Merck traded at $111.91 after closing yesterday's trading day at $108.83 (up 2.83%). UnitedHealth was up 3.24%.
Upcoming fundamentals: as things stand, upcoming United States Non Farm Payrolls data is projected to fall short of market expectations with newly published data of 240,000, following on from the preceding figure of 311,000. New data is set to be published tomorrow at 12:30 UTC.