Current trend

Shares of Cisco Systems Inc., an American manufacturer and supplier of network equipment for large holdings and telecommunications companies, have been moving within an upward trend for the fourth month. Now, the price has consolidated above the middle line of Bollinger Bands 56.25 (Murrey level [3/8]). It allows the price to reach the central mark of the Murrey trading range of 62.50 (Murrey level [4/8]) and the area of ​​65.62 (Murrey level [5/8]). In case of consolidation below the lower line of Bollinger Bands 53.12 (Murrey level [1/8]), a decline to targets of 50.00 (Murrey level [8/8]), 46.88 (Murrey level [–1/8]), and 43.75 (Murrey level [–2/8]) may follow.

Technical indicators confirm the continuation of the upward trend. Bollinger Bands and Stochastic are directed upward, although the latter has entered the overbought zone, and the MACD histogram is increasing in the positive zone.

Support and resistance

Resistance levels: 62.50, 65.62.

Support levels: 53.12, 50.00, 46.88, 43.75.

Trading tips

Long positions may be opened from 58.60, with the targets at 62.50, 65.62, and stop loss 56.20. Implementation period: 5–7 days.

Short positions may be opened below 53.12, with the targets at 50.00, 46.88, 43.75, and stop loss 55.25.