Merck & Co., Inc. (NYSE:MRK) gained 0.08% in yesterday’s session, going up from its prior closing price of $63.78 to $63.83. The price has fallen in 5 of the last 10 days and is down by -0.72% over the same course of time. Trading activity decreased by -3.91 million shares, and in total, 6.15 M shares exchanged hands for about $392.78 million. It should be noted that increasing price and decreasing volume show lack of interest and this is a warning that something has fundamentally changed.
Inside MRK’s Recent Trend
Merck & Co., Inc. (MRK) lies in the lower part of a weak rising trend in the short term, and this will normally pose a very good buying opportunity. A break down through the resistance trend line at $63.12 will initially suggest a lower tendency for gains in the price and this might very well be an early sign that a trend shift is coming. Short-term traders are predicted to see a rally of 4.26% over the course of a quarter and, with 90% chance the price will be floating in the range of $65.81 and $69.82 in this timeframe.
Merck & Co., Inc. Technical Signals
MRK has witnessed its long term and short term MA triggering a sell signal. Many traders watch for long-term averages to cross above short-term averages to signal the beginning of a downtrend. Upon corrections, the price will meet resistance from the averages between $64.31 and $64.51. A buy signal will be generated if it crosses above any of these levels. Some upbeat technical points have emerged as well, putting a major impact on the future growth of the stock in the next couple of days. Its pivot point low generated buy signal on Wednesday October 11, 2017, which calls for additional surge until the stock forms a new pivot point high. There was a decrease in volume but the price rose. This is usually not interpreted as a good sign as traders widely believe falling volume should see declining stock. Investors should be watching the price action like a hawk in the coming sessions.
Merck & Co., Inc. (NYSE:MRK) Support And Resistance Levels
Merck & Co., Inc. (MRK) recorded volume accumulation so there will probably be a surplus of buyers at $63.69. In case of gains, the next resistance from accumulated volume will not be far away from today’s level at $64.60, $65.13 and $66.16.
Accumulated volume is going to prevent the price from rising further at $64.60 and this action will lead the price to take a temporary pause or stay muted for a few days.
Merck & Co., Inc. (MRK) Risk Assessment
The number of shares changed hands in the stock is good, indicating the interest and low risk associated with it. In the most recent session, the stock price hovered around $0.42 (0.66%) between intraday high and intraday low. Each day in the past 1 week, the average volatility remained at 0.84%.