Cisco Systems may rise to 59.30 - 60.20

Our pivot point is at 54.8.

Our preference

The upside prevails as long as 54.8 is support.

Alternative scenario

The downside breakout of 54.8 would call for 53.3 and 52.4.

Comment

The RSI is above 70. It could mean either that the stock is in a lasting uptrend or just overbought and therefore bound to correct (look for bearish divergence in this case). The MACD is positive and above its signal line. The configuration is positive. Moreover, the stock is trading above both its 20 and 50 day moving average (respectively at 54.179 and 51.746).

Supports and resistances

61.1 **

60.2 *

59.3 **

58.4

56.28 (USD-last)

55.4

54.8 **

53.3 *

52.4 **

Number of asterisks represents the strength of support and resistance levels.