The chart shows AbbVie Inc. (ABBV) on the daily timeframe.
After a strong impulsive rally (black trendline leg), price entered a descending parallel channel, indicating a corrective phase rather than a confirmed trend reversal — at least for now.
Current price: ~231
Price is testing the upper boundary of the descending channel.
🔎 Structure Overview
• Prior structure: Strong bullish impulse
• Current structure: Bearish correction (lower highs + lower lows inside channel)
• Moving average flattening → momentum cooling
• Price sitting at resistance (channel top)
This is a breakout vs continuation decision zone.
🟢 Bullish Scenario (Channel Breakout)
If:
• Daily close above 235–238
• Strong follow-through candle
• Volume expansion
Upside targets:
• 245
• 255
• Potential continuation toward 265
This would invalidate the corrective channel and signal trend continuation.
Long Invalidation:
• Rejection from channel top + close below 225
🔴 Bearish Scenario (Correction Continues)
If:
• Price rejects current resistance
• Break below 220
Downside targets:
• 210
• 200 (channel base)
• Possible overshoot toward 195
This would confirm continuation of corrective structure.
Short Invalidation:
• Break and hold above 238
📊 Structural Insight
Important distinction:
• This looks more like a bullish trend in correction, not a full trend reversal yet.
• Breakout from descending channel often triggers strong upside expansion.
• Failure at resistance increases probability of retest of channel lows.
After a strong impulsive rally (black trendline leg), price entered a descending parallel channel, indicating a corrective phase rather than a confirmed trend reversal — at least for now.
Current price: ~231
Price is testing the upper boundary of the descending channel.
🔎 Structure Overview
• Prior structure: Strong bullish impulse
• Current structure: Bearish correction (lower highs + lower lows inside channel)
• Moving average flattening → momentum cooling
• Price sitting at resistance (channel top)
This is a breakout vs continuation decision zone.
🟢 Bullish Scenario (Channel Breakout)
If:
• Daily close above 235–238
• Strong follow-through candle
• Volume expansion
Upside targets:
• 245
• 255
• Potential continuation toward 265
This would invalidate the corrective channel and signal trend continuation.
Long Invalidation:
• Rejection from channel top + close below 225
🔴 Bearish Scenario (Correction Continues)
If:
• Price rejects current resistance
• Break below 220
Downside targets:
• 210
• 200 (channel base)
• Possible overshoot toward 195
This would confirm continuation of corrective structure.
Short Invalidation:
• Break and hold above 238
📊 Structural Insight
Important distinction:
• This looks more like a bullish trend in correction, not a full trend reversal yet.
• Breakout from descending channel often triggers strong upside expansion.
• Failure at resistance increases probability of retest of channel lows.
Thông báo miễn trừ trách nhiệm
Thông tin và các ấn phẩm này không nhằm mục đích, và không cấu thành, lời khuyên hoặc khuyến nghị về tài chính, đầu tư, giao dịch hay các loại khác do TradingView cung cấp hoặc xác nhận. Đọc thêm tại Điều khoản Sử dụng.
Thông báo miễn trừ trách nhiệm
Thông tin và các ấn phẩm này không nhằm mục đích, và không cấu thành, lời khuyên hoặc khuyến nghị về tài chính, đầu tư, giao dịch hay các loại khác do TradingView cung cấp hoặc xác nhận. Đọc thêm tại Điều khoản Sử dụng.