Stock of the Day: Johnson & Johnson
07 July 2025
In today’s stock of the day, let’s take a look at Johnson & Johnson, which is showing early signs of a potential breakout, but still lacks clear confirmation. The stock has been moving inside a symmetric triangle pattern, marked by converging black trendlines, and we’ve finally seen a first attempt to escape to the upside.
This breakout attempt, however, is not yet decisive. The price managed to push slightly above the upper boundary of the triangle, but has since stalled. Part of this hesitation may be due to the U.S. market being closed on Friday due to the Independence day.
As the new week opens, all eyes are on the next key technical level:
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Primary View: A daily close above the yellow horizontal resistance will provide the confirmation bulls are looking for. This would validate the breakout and offer a strong technical invitation to go long.
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Alternative View: If the price fails to break and close above the yellow resistance and instead falls back into the triangle, this would be seen as a false breakout, and could turn into a sell signal driven by a failed bullish setup.
We're right at the decision point – confirmation is key before acting on the breakout.