- CSCO stock is showing a positive outlook in the last few sessions.
- Bulls showed their dominance holding the gains.
Cisco Systems stock price is trading near its 52-week high, and bulls are likely to retest the mark of $52.56, which is the zone to target. CSCO stock is trading at the round level of $50, where bulls maintained the gains and showed follow-on buying in the last session.
Moreover, the price action shows that the stock is gaining from the last month from the support of $45, where a strong bounce was noted. However, the chart shows a head and shoulders pattern with a neckline of $47, which, if it breaks below the 20-day EMA, then a quick breakdown can be seen. Moreover, the rising wedge pattern was also showcased on the chart, signalling a down move toward $45. The support mark has to be retested soon, but bulls now hold the region on the top.
Cisco ( CSCO ) is the worldwide leader in technology that powers the Internet. Cisco inspires new possibilities by reimagining your applications, securing your data, transforming your infrastructure, and empowering your teams for a global and inclusive future.
Will CSCO continue to surge or reverse?
At press time, CSCO stock was traded at $50.02 with a surge of 0.56% with an average volume of 19 Million in the intraday session. Cisco stock trades above the key EMAs and on the upper Bollinger band. Moreover, the price action suggests that if the stock passes and sustains above $50 in the next session, multiple resistance will break, and a fresh breakout above $52 will be seen.
Moreover, the fib extension has suggested that if CSCO stock brings its 52-week high mark and escapes above it, the trajectory mark of $55 and $58 will be the marks to be watched.
Short Term Charts Shows Profit booking
On the short-term charts, CSCO paused the crucial mark of $50, and sellers entered the stock to make a profit booking, leading to the uptrend’s stoppage.
The RSI showed a reversal from the overbought zone, and e negative divergence was noted, which might lead to a stock price retracement.
CSCO stock needs to form a higher low after the continuation of an uptrend from the demand zone of $45.
The MACD indicator shows a bearish crossover and depicts sellers who have started making short stock positions.
Conclusion:
Cisco stock needs to retest $52 to continue the uptrend; otherwise, sellers will aggressively enter, leading to a trend reversal.
Technical Levels-
Resistance level- $52 and $55
Support level- $45
Disclaimer-
The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.