Current trend

Shares of Cisco Systems Inc., an American manufacturer and supplier of networking equipment for large holdings and telecommunications companies, are correcting at 47.00.

The company reported that the agreement to terminate cooperation with the company’s executive vice president Jeff Sharritts has been completed. According to the document, Cisco Systems Inc. will pay him compensation of 2.59M dollars, as well as provide accelerated access to shares until December 10, 2025, after which Sharritts will leave his post and undertake to comply with all agreements regarding non-disclosure of inside information.

The process will not affect the financial statements due on August 18. Analysts expect revenue to grow from 12.70B dollars to 13.53B dollars, which is lower than 15.20B dollars in the same period last year. Experts are confident that the active development of cable networks planned for this year can bring the corporation to these levels by the end of the year. Earnings per share may amount to 0.848 dollars compared to 0.880 dollars in the previous quarter.

Support and resistance

On the daily chart, the trading instrument is moving within a correction trend, retreating from the support line of the ascending channel of 46.00–49.50.

Technical indicators are weakening the buy signal: the EMA fluctuation range of the Alligator indicator is narrowing, and the AO histogram is forming correction bars above the transition level.

Resistance levels: 47.30, 49.60.

Support levels: 46.20, 44.00.

Trading tips

Long positions may be opened after the price grows and consolidates above 47.30, with the target at 49.60. Stop loss is 46.50. Implementation period: 7 days or more.

Short positions may be opened after the price declines and consolidates below 46.20, with the target at 44.00. Stop loss is 47.20.