Abbott Technical Update: Ascending Triangle Breakout Confirmed

This is a technical update to my original investment thesis on Abbott.

Shares of Abbott broke well above its ascending triangle resistance, reaching a high of $92 in mid January. Since then, the stock has experienced a 6% correction, and fell below the ascending triangle resistance level once again.

Now, the stock is rebounding and once again has broken out of a 7 month ascending triangle pattern. In technical analysis, after an initial breakout above resistance, the stock will correct back to the resistance level and test it as support. If the level holds as new support, it's constructive to buy the stock and enjoy the continued uptrend.

A measured move target of the ascending triangle pattern in Abbott generates a price target of $102. If Abbott can close above its previous high of $92, the stock has a high probability of rallying 10% to triple digits. Remember, stocks in the $90's tend to go to $100.

Technical analysis on shares of abbott laboratories investing stock

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