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Mallinckrodt Is Circling the Drain - Do Not Go Down With It

Bruce Kamich

In this daily bar chart of MNK, below, we can see a lot of bearish signals. The daily On-Balance-Volume (OBV) line has been declining along with price since August, telling us that sellers of MNK have been more aggressive with heavier volume being transacted on days when the stock has closed lower. In the bottom panel we fail to find a bullish divergence from the momentum study so no early warning of a low.