CRM +10% In 2 Weeks After Our Alert
by Mike Paulenoff
April 11, 2021 • 8:04 PM EDT
On March 30, with Salesforce.com (CRM) trading at 210.95, Mike Paulenoff wrote MPTrader members:
"The relentless stair-step decline within the Sep.-Mar. down-channel is nearing completion ahead of my expectation of a powerful upleg that revisits and takes out the ATH at 284.87."
Fast-forward to last Thursday afternoon, April 8, when CRM finally received some long-awaited price support from Wall Street. BofA included the stock in its new "4M Framework" for identifying winning stocks in top server and enterprise software businesses, giving it Buy rating with a $275 price target.
CRM was trading at around 225.40 at the time of BofA's report, and Mike highlighted the 226.58 level (its down-sloping DMA) as key resistance it needed to get through in a follow-up post on Friday.
CRM blasted above its 200 DMA at 226.58, closing Friday at 231.28, and is poised for a run at its dominant multi-month resistance line, now in the vicinity of 239.20.
CRM has climbed nearly 10% from Mike's March 30 post.
What's next for CRM as The Street enters into a new quarterly earnings season this coming week? Will it challenge and take out its dominant September-April down trendline, and thereafter play catch-up with the overall technology sector?
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