Chart Analysis » CVS http://chart-analysis.com/stocks-etfs Trend Analysis for Stocks and ETFs Mon, 10 May 2010 13:35:39 +0000 http://wordpress.org/?v=2.9.2 en hourly 1 CVS Chart – July 20, 2009 http://chart-analysis.com/stocks-etfs/2009/07/20/cvs-chart-july-20-2009/ http://chart-analysis.com/stocks-etfs/2009/07/20/cvs-chart-july-20-2009/#comments Mon, 20 Jul 2009 18:35:29 +0000 Alex F http://chart-analysis.com/stocks-etfs/?p=337 I charted CVS again today at 1:46 pm while it was trading at $33.15.  After getting it right last month when I said it was heading higher.  S&P upgraded it today, but the chart shows that it could be ready for a breather.  It’s up, but on low volume and found resistance at its mid-May peak.  That horizontal line comes in contact with the six month trend line of higher highs. 

I still like CVS longer term, but I’m waiting for a dip before I get in again.  I have a limit in to sell August 31 puts and am going to try to wait on that order to hit at least a few more days.  If CVS stays above $32.50 through Wednesday or Thursday I’ll have to up my strike to $32.50.  I’m not bold enough with this prediction to start selling naked calls on CVS yet, but don’t see the catalyst to get it higher from the $33 range yet.

cvs-chart_7-20-09

]]> http://chart-analysis.com/stocks-etfs/2009/07/20/cvs-chart-july-20-2009/feed/ 0 CVS Chart – June 16, 2009 http://chart-analysis.com/stocks-etfs/2009/06/16/cvs-chart-june-16-2009/ http://chart-analysis.com/stocks-etfs/2009/06/16/cvs-chart-june-16-2009/#comments Tue, 16 Jun 2009 17:12:17 +0000 Alex F http://chart-analysis.com/stocks-etfs/?p=283 I charted CVS Caremark Corp (NYSE:CVS) at 12:38 on June 16th, 2009 while it was trading at $29.92.

  • The trend line of higher lows is set to converge with the trend line of lower highs soon - This is setting up something close to a symmetrical wedge
  • Previous recent lows for CVS show potential support just under $29.00
  • CVS broke below its 50 day moving average last week
  • The 100 and 200 day moving averages offer potential support just below the current price and again in line with the previous lows
  • Williams %R is neutral for CVS for the 14 and 28 day indicators
  • Volume has been below average recently

Opinion – I traded CVS options using a bullish vertical put spread yesterday. I think the wedge drawn above is going to trigger a bull run soon at best and at worst CVS will come back down to retest its previous low near $29.00 and then rally. The break in the 50 day moving averages caused me to hedge my position along with the 10 and 20 day averages (not shown) breaking too.  I expect the 100 and 200 day moving averages to cross soon as a bullish indicator and help lift CVS further.

cvs-chart_20090616

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