Is that a big base on JNJ?

Got a question on JNJ from Samant.

Johnson & Johnson (JNJ)

Taking a step back and looking at the monthly chart shows that JNJ has had a solid uptrend for many years, but the stock has not provided market leadership.

That said, JNJ has broken out from a bottoming formation off its lows dating back to late 2023. Sustaining the push above 170-168.85 would keep this breakout intact with upside potential beyond the April 2022 peak at 186.69 toward the base pattern count at 197.

The relative price path for JNJ vs. the S&P 500 is uncertain. The stock could be forming a double bottom relative to the broader market or merely consolidating within an ongoing relative downtrend ahead of continued relative weakness. Remember: the trend is your friend until proven otherwise.

Chart 1: Johnson & Johnson (JNJ)