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Downtrend Broken Resistance

Downtrend Broken Resistance stock alert presents a technical analysis stock market picking technique based on combination of technical indicators, stock trend analysis, trend following indicators and pattern recognition. Downtrend broken resistance stock market alert is a trend trading warning signal. It is a confirmation that long term downtrend reversal is completed and a new uptrend is establiched.

Unlike other alerts, broken resistance is not a buy/sell signal. It is rather warning signal that trend direction has changed. For entry point it is usually better to wait for pull back and retest of resistance line. This point is considered as a second chance to participate in downtrend reversal.

Downtrend Broken Resist.

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- 8/22/2025 -
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Merck & Co. (MRK) Technical Analysis

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Summary:
Weekly :Williams' Percentage Range is overboughtTrend support at 87.70Broken trend resistance line
Daily :Relative Strength Index and Lane's Stochastic are overboughtWilliams' Percentage Range is strongly overbought
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It was a third consecutive positive week for the Merck & Co. (MRK). During the week, the MRK gained 3.16 points, or 3.75%, and closed at 87.37 on Friday, August 22, 2025. Weekly volume was -14% below average.

Long-term trend: [See MRK long-term trend chart]
A long-term uptrend had started on March 9, 2009 at 20.05 and reached 134.63 on June 25, 2024. MRK gained -114.58 points, or -571.47%, in 798 weeks. The chart has formed a Rising Channel chart pattern. The price is near the trend support (87.70) line. The support is usually stronger when technical indicators are oversold. Use the following links to access Trend Support/Resistance Help, or use the Technical Stock Screener to see the list of stocks with price testing the trend support line in a long-term trend.

Medium-term trend: [See MRK medium-term trend chart]
A medium-term downtrend had started on June 25, 2024 at 134.63 and reached 73.31 on May 15, 2025. MRK lost 61.32 points, or 45.55%, in 46 weeks. The chart has formed a Falling Channel chart pattern. The downtrend resistance line (56.77) is broken. Usually a broken resistance is considered to be a long-term bullish signal, but since daily indicators are overbought a short-term pull back is possible. MRK may retest the broken resistance line. It is considered to be a support line now. Use the following links to access Trend Support/Resistance Help, or use the Technical Stock Screener to see the list of stocks with broken trend resistance line in a medium-term trend.

Weekly Technical Indicators: [See MRK weekly technical indicators chart]
Weekly Williams' Percentage Range is overbought. Use the Technical Stock Screener to see the list of stocks with overbought weekly Williams' Percentage Range. Oscillators are designed to signal a possible trend reversal. They can act as alerts and should be taken in conjunction with other technical analysis tools. Oscillators can be used to confirm other technical signals. Use the following link to access Williams' Percentage Range help.

The weekly MACD line is above its signal line since June 6, 2025. Use the following link to access a MACD help.

Short-term trend: [See MRK short-term trend chart]
A short-term uptrend had started on August 1, 2025 at 77.53 and reached 87.84 on August 22, 2025. MRK gained -10.31 points, or -13.30%, in 21 days. Price is near the trend high.

Daily Technical Indicators: [See MRK daily technical indicators chart]
Daily Relative Strength Index and Lane's Stochastic are overbought while Williams' Percentage Range is strongly overbought. Use the Technical Stock Screener to see the list of stocks with overbought daily Relative Strength Index and Lane's Stochastic or strongly overbought daily Williams' Percentage Range. Use the following links to access Lane's Stochastic and Relative Strength Index help.

The daily MACD line is above its signal line since August 13, 2025. This is an indication that the short-term trend is up.

Daily Oscillators
Description Value Status Divergence Chart
Relative Strength Index (RSI) 81.11
Overbought
Williams' Percentage Range (W%R) 3.00
Strong Overbought
Lane's Stochastic (%D-Slow) 85.55
Overbought
Greed/Fear Indicator (GFI) 87.89
Overbought
Moving Average Converg./Diverg. (MACD) 0.60
Weekly Oscillators
Description Value Status Divergence Chart
Relative Strength Index (RSI) 65.83
Williams' Percentage Range (W%R) 13.70
Overbought
Lane's Stochastic (%D-Slow) 67.13
Greed/Fear Indicator (GFI) 70.99
Moving Average Converg./Diverg. (MACD) -4.42
Trading Signals
Description Value Chart
Upper Bollinger Band 87.98
Yearly Trendline Support 87.70
Price 87.37
Daily Stochastic Crossing 86.73
Weekly Stochastic Crossing 83.83
Parabolic System 82.40
20 Day Moving Average 82.21
50 Day Moving Average 81.68
Lower Bollinger Band 78.11
Quarterly Trendline Resistance 71.52
Sector and Industry
Description Name Rank
Sector Health Care 7
Industry Pharmaceuticals 61
Daily Trend
Description Value
Direction Up
Chart Pattern Uptrend
Low 77.53
Low Date 08/01/2025
High 87.84
High Date 08/22/2025
Weekly Trend
Monthly Trend
Description Value
Direction Up
Chart Pattern Uptrend
Status
Resistance
Support
Low 76.66
Low Date 07/29/2025
High 87.84
High Date 08/22/2025
Description Value
Direction Up
Chart Pattern Uptrend
Status
Resistance
Support
Low 73.31
Low Date 05/15/2025
High 87.84
High Date 08/22/2025
Quarterly Trend
Yearly Trend
Description Value
Direction Down
Chart Pattern Falling Channel
Status Broken Resistance
Resistance 71.52
Support 56.77
High 134.63
High Date 06/25/2024
Low 73.31
Low Date 05/15/2025
Description Value
Direction Up
Chart Pattern Rising Channel
Status Test Support
Resistance 107.96
Support 87.70
Low 20.05
Low Date 03/09/2009
High 134.63
High Date 06/25/2024
Warning: TheGreedyTrader.com presents weekly analysis. Technical indicators and trend parameters are calculated for the close of business day indicated on the top right corner of the screen.