As we can see from the chart, ABT – Abbott Laboratories – was moving in a range defined by the two horizontal blue lines from September till the end of January.
Since the beginning of February, however, ABT started moving in a bullish channel between its 10-day exponential moving average and the upper Bollinger Band.
While trending up, ABT broke above the upper blue resistance line. At the same time, ABT’s 10- 20- and 50-day exponential moving averages are all trending up and diverging from each other, a sure sign of bullish momentum strength.
This strength in momentum is also shown in MACD, which has been trending above its signal line since at least mid-January.
Finally, ABT’s Relative Strength is also trending up and above its 20-day exponential moving average.