TEVA Chart – Rising Wedge

I charted Teva Pharmaceutical Ind (NASDAQ: TEVA) premarket on July 24, 2009 after it closed at $50.19 yesterday.

For the TEVA chart it all comes down to breaking through the rising wedge it’s in the middle of now.   That means I’ll be watching this wedge to see if the rising trend line of higher lows breaks.  If it does TEVA will likely make a move lower and offer a better entry point.  If TEVA makes it much above its June intraday high of $50.35 I’ll be looking for a new trend.  The six month view has some longer trend lines that point to room for higher highs to continue, but TEVA has to get past this wedge first.

Also worth mentioning – TEVA is holding support above its 10, 20 and 50 day moving averages.  Keep those lines in mind to see if they stay strong.  If the rising trend line breaks, the 50 day sma could be a good entry point.