Shares of Merck & Co.  (MRK) - Get Report are having are having a great week. At midday the stock is up more than 1% as it begins to put some distance on heavy resistance near last month's high. This powerful move will soon face a major test near the 2017 highs. If Merck can blow past the $67.00 area there is little stopping it from entering a huge up leg.

As March began Merck was running out of steam. The stock had surged nearly 14% from the December lows and was in need of a rest.  Shares began to pullback in mid March and by mid April the stock had returned to major support near its 200-day moving average. This key area provided solid footing in December as well and did so again in May and June. As the stock begins to break above the post February consolidation a major low appears to be developing. Investors should view Merck a low risk buy on weakness.

Merck has a very solid support zone in place between $65.60 and $65.00. This key area includes the multi-week May highs as well as the initial June peak. A key hurdle for the stock will be the March high. Once past Merck has plenty of room to run. On the downside, a close back below $64.00 would indicate the stock has dropped back into consolidation mode.

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Long MRK