Impressive gain for $CSCO this morning. Shares are up just shy of 2.5% and are beginning to put some distance on heavy supply near the September lows. Since the Oct. 10th breakdown the $46.50 area has been a wall. With the help of solid footing underneath near the 200D moving average, and a deeply oversold daily MACD in late October, the stock is plowing through. We expect Cisco to reach new 2018 highs as this breakout move develops. Nearby support is in place between $46.80(50 day moving average)and $46.00. Just above this lower band is the March/May highs as well as last week’s high. We are long the stock and will be looking to add on weakness.
Of note, Cisco is due to report their first quarter earnings results on November 14.