AbbVie Vs. Novartis: Which Has The Technical Edge Before Q4 Earnings?

Core Viewpoint - AbbVie Inc. is experiencing stagnation in its stock performance, while Novartis AG shows stronger bullish momentum ahead of their fourth-quarter earnings reports [1]. AbbVie Analysis - AbbVie stock is trading above its short-term moving averages, with the eight-day SMA at $173.14 and the 20-day SMA at $175.20 indicating bullish signals [2]. - However, longer-term trends reveal AbbVie is closely aligned with its 50-day SMA at $175.33 and below its 200-day SMA at $178.77, indicating potential downside pressure [2]. - The MACD at negative 0.89 supports a bearish outlook, while the RSI at 50.39 suggests neutral momentum [2]. - Overall, AbbVie is struggling for direction, with slight selling pressure limiting breakout potential [3]. - A strong earnings beat could help AbbVie surpass key resistance levels, but the current setup indicates vulnerability to further consolidation [3]. Novartis Analysis - Novartis is trending higher, trading above its short-term and mid-range moving averages, with the eight-day SMA at $101.27, the 20-day SMA at $99.57, and the 50-day SMA at $100.44 acting as support [4]. - The MACD at 0.68 indicates bullish momentum, and the RSI at 63.61 shows strength without being overbought [4]. - Despite the positive indicators, Novartis remains below its 200-day SMA at $106.77, suggesting some caution is warranted [4]. Investor Implications - Heading into earnings, Novartis has a technical advantage with a stronger bullish structure and upward momentum, while AbbVie is in a range and requires a catalyst for upward movement [5]. - Key resistance levels to watch are AbbVie above $177 and Novartis above $106 for potential movement post-earnings [5].