To The Moon

$Johnson & Johnson(JNJ)$ $BETASHARES GB QUAL LEADERS(QLTY.AU)$ $Spdr S&P Biotech Etf(XBI)$ 🚨💊 Pharma Rotation Alert: I’m Watching $JNJ for a Structurally Engineered Breakout Into 2026 📈🧬 I’m watching Johnson & Johnson not as a dividend fallback, but as a historically repeatable, structurally aligned breakout candidate into late 2026. This isn’t just about mean reversion. It’s about a long-cycle oncology reinvention with a technical chart that’s whispering ahead of the headlines. 📉 Multi-Decade Structure: When Patterns Speak, I Listen The long-term JNJ chart reveals something subtle but powerful: over a 15-year cycle, the stock has adhered to symmetrical, rising channel formations with cyclical peaks and retracements. What’s happening now? We’ve just bounced off major channel support, and the setup implies a push toward $224 by late 2026. Each structural breakout historically produced multi-year rallies, and the current move off the 2023/24 lows is following the same harmonic signature. This time is not different; it’s rhythm reasserting itself. On the weekly, JNJ is printing a clean series of higher lows and is pushing into the neckline of its 52-week high at $169.99. RSI(6) has surged to 77.66, MACD is flashing bullish continuation, and price has reclaimed the 5/10/20/30 weekly MAs. If price clears $170 with conviction, I’m expecting a reaccumulation zone to form into $176–$181 before we push toward $200+. 🧬 Fundamentals: Oncology’s Second Act, Not Just Legacy Dividends The market has focused on talc litigation and post-COVID vaccine hangover, but that’s backward-looking. JNJ is reshaping its identity around antibody-drug conjugates (ADCs), a transformative class of cancer therapies. Its $2B acquisition of Ambrx Biopharma and focus on ARX517 (prostate cancer) is part of a wider strategy to build a $50B oncology engine by 2030. That compares to ~$20B in 2024 cancer revenue and a total revenue base just under $90B. The Q2 2025 earnings call confirmed the forward tilt. CEO Joaquin Duato and CFO Joseph Wolk mapped out pipeline strength across lung and bladder cancer, mental health, psoriasis, surgery, and cardiovascular care. Elevated margins and guidance upgrades reinforce this isn’t a defensive dividend hold; it’s a margin expansion thesis underpinned by scientific scaling. 🧠 I’m Watching Through the Lens of Quality Rotation I’m not long $JNJ directly. I’ve chosen to gain exposure via the Betashares Global Quality Leaders ETF (ASX: QLTY), which includes JNJ as a core component. It’s a refined filter that targets global companies with consistently high ROE, resilient margins, and strong balance sheets. With markets rotating from momentum back into quality and cashflow defensibility, JNJ stands out as a structural backbone stock. 🔬 Valuation Still Leaves Room to Expand At $168.30, JNJ trades on a forward PE of 15.5x with EPS forecast to rise to $10.86. Dividend yield is 2.98%, with a 62-year dividend growth record and a conservative 50.2% payout ratio. ROE at 30.2% signals financial stewardship that outpaces peers. It’s not a stretched multiple when you consider the oncology optionality and likely political tailwinds for domestic pharma manufacturing. 🌎 Macro Layer: Trade Winds Are Shifting The newly announced US–EU trade pact resets the deck. The EU is committing to $750B in US energy, $600B in investment, and tariff cuts across sectors. Global pharma supply chains could benefit, especially in terms of regulatory harmonisation and market access for US-developed therapies. This comes just after a deal with Japan, signaling that deglobalisation headwinds may be easing. 💡 Edge in the Market: While Others Chase Momentum, I’m Watching for Conviction Structures Retail flow is still gravitating toward high-beta tech or meme momentum. But $JNJ is offering a much rarer gift: a credible growth reinvention, technically validated, and underappreciated in a sector that’s been out of favour. Most are ignoring it. That’s exactly when the setups are strongest. ⚠️ Risks & Invalidation Litigation remains a lingering weight, but JNJ has already absorbed much of the Kenvue-related fallout. A break below $156 with volume would violate the bullish channel. That’s my invalidation zone. I’m also monitoring macro biotech flow and ADC competition from Roche and Merck. 📊 What I’m Watching for Confirmation • Clean breakout through $170–$173.50 • Reaccumulation above 30W MA • Weekly MACD continuation and RSI >70 holding • Fund flows into QLTY and large-cap pharma ETFs • Q3 earnings momentum and FDA decisions in oncology pipeline 📌 Watchlist $JNJ (watching for direct setup, target entry on confirmation above $170 or pullback toward $162 support) $QLTY (ETF I’m monitoring for quality rotation entry) $MRK (ADC competitor to JNJ, watching for oncology flow) $XBI (biotech momentum indicator) 📢 Don’t miss out! Like, Repost and Follow me for exclusive setups, cutting-edge trends, and insights that move markets 🚀📈 I’m obsessed with hunting down the next big movers and sharing strategies that crush it. Let’s outsmart the market and stack those gains together! 🍀 Trade like a boss! Happy trading ahead, Cheers, BC 📈🚀🍀🍀🍀 @Tiger_comments @TigerPicks @TigerStars @Daily_Discussion @Tiger_AU