Current trend

Shares of Cisco Systems Inc., an American manufacturer and supplier of network equipment for large holdings and telecommunications companies, have been rising within an upward trend for the fourth month in a row: during this time, the price reversed from 45.31 (Murrey level [1/8]), broke into the positive part Murrey’s trading range and is currently testing the 54.69 level (Murrey level [7/8]). After consolidation above it, the upward dynamics will increase to the upper border of the main Murrey trading range 56.25 (Murrey level [8/8]) and further to the reversal zone to the levels 57.81 (Murrey level [ 1/8]) and 59.38 (Murrey level [ 2/8]). The key “bearish” level is 53.12 (Murrey level [6/8]), supported by the middle line of Bollinger bands, the breakdown of which will allow continuing movement to the area of 51.56 (Murrey level [5/8]) and 50.00 (Murrey level [4/8]).

The upward trend in the market continues, which is signaled by the upward reversal of Bollinger bands, as well as the stabilization of the MACD histogram in the positive zone, while the downward movement of Stochastic does not exclude a correction, which is unlikely to lead to a change in trend.

Support and resistance

Resistance levels: 54.69, 56.25, 57.81, 59.38.

Support levels: 53.12, 51.56, 50.00.

Trading tips

Long positions may be opened above 54.69 with the targets at 56.25, 57.81, 59.38, and stop loss 53.60. Implementation period: 5–7 days.

Short positions may be opened below 53.12 with the targets at 51.56, 50.00 and stop loss 54.20.