While scanning charts after yesterday’s market sell-off, I found a key resistance level in the chart of Globus Medical (GMED).
GMED is a medical device company that develops and provides healthcare products and solutions to hospitals, physicians, and surgical centers. While GMED posted disappointing sales results in the second quarter, the company saw an upward trend at the end of the quarter and into July. As the baby boomer generation gets older, they will be more prone to musculoskeletal degeneration. This bodes well for GMED’s spine business.
Take a look at the 1-year chart of GMED below with my added notations:
Chart of GMED provided by TradingView
Over the course of the past six months, GMED has tested the $58 area four separate times, creating a key level of resistance (red).
If/when the stock closes above $58, a long trade could be entered, with the expectation of a breakout.
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Christian Tharp, CMT
GMED shares were trading at $56.04 per share on Friday morning, down $0.63 (-1.11%). Year-to-date, GMED has declined -4.82%, versus a 7.94% rise in the benchmark S&P 500 index during the same period.
About the Author: Christian Tharp, CMT
Christian is an expert stock market coach at the Adam Mesh Trading Group who has mentored more than 4,000 traders and investors. He is a professional technical analyst that is a certified Chartered Market Technician (CMT), which is a designation awarded by the CMT Association. Christian is also the author of the daily online newsletter Todays Big Stock.Get Ready for Globus Medical (GMED) to Surge IF This Happens appeared first on StockNews.com