Technical Summary: Over the last 5 years the stock of JNJ has behaved in a way that you would expect from a company that is larger than the Titanic. Unlike the Titanic however the stock is yet to sink as it slowly grinds its way to new highs. We have drawn a white trend line on the 5 year chart, if you are a believer in buying off trend lines then there is an argument to be made that the stock
can be bought now on the pull back to the trend. The trend looks less discernible when you zoom into the one year chart, the stock has largely trekked sideways for the most of the year with a series of breakouts and breakdowns. At the current juncture the stock appears to be consolidating after a nasty breakdown. We would like to see support held across this consolidation phase.