Is CSCO's Setup Poised for Upside Acceleration?
by Mike Paulenoff
April 2, 2023 • 1:56 PM EDT
At the close of Q1, 2023, the big-cap technology names recorded the following very impressive 3-month gains: NVDA +90%, META +76%, TSLA +68%, CRM +50%, AAPL +27%, MSFT +21%, and GOOG +18%.
Although CSCO has lost a bit of its "sex appeal" in recent years and more often than not flies under the radar, the stock was up 10% during Q1, 2023! If its near and intermediate-term technical setup provides us with any indication of what's ahead, then CSCO should be "above the fold" on anyone's shopping list during the remainder of this year.
Indeed, back on Friday, March 24, 2023, with one week remaining in the month and in Q1, 2023, Mike Paulenoff alerted MPTrader members to his technical work in CSCO:
CSCO has been on my radar screen since mid-February just prior to earnings, and as long as any forthcoming weakness is contained above 47.90-48.00, my pattern work argues that CSCO is biding time prior to a powerful upside breakout from a near-1 year base accumulation setup that projects considerably higher later this year... Keep it in mind, even though it no longer has the cache of the mega-techs... Last is 50.32...
Fast-forward to the end of last week (3/31/23). we find CSCO at 52.40, perched right at the high for the day and for the week, up 4% from the prior Friday when Mike posted his chart work to the MPTrader Coverage List and into the MPTrader Discussion Room.
What's next for CSCO? Join Mike and our members for their ongoing intraday conversations about CSCO as well as many other investable opportunistic setups evident and emerging in individual names, ETFs, macro indices, commodities, and Bitcoin. In addition, observe, participate, and learn from their insightful discussions about economic, political, and geopolitical trends that are impacting the financial markets.
Never a dull moment since January 20, 2025! This weekend, POTUS imposed 25% tariffs on Mexico and Canada, and 10% on China, which go into effect on Tuesday. From an initial market perspective, tariff trade war fears have triggered a risk-off reaction from Bitcoin-- the only highly liquid weekend market that can give us insight into what to expect for Sunday evening and Monday morning trading.
On December 27, 2024, with META trading at 595.26, this is what I posted to the MPTrader Discussion Room in response to a member's question:My pattern work from the October 2023 low at 279.40 to the December 2024 ATH at 638.40 (+128%) tells me that META is at a technical crossroad now... META's most recent upleg from the 11/19/24 low at 547.71 to the 12/11/24 ATH at 638.40 has the "right look" of a completed advance.
At the close of trading on December 18, 2024, this was my final thought posted to our discussion room at MPTrader.com:ES (March 2024 E-mini SP 500)-- Stating the obvious: Today's reaction to the FOMC Rate CUT (!!) inflicted serious near-term technical damage to the dominant, post-August uptrend... Last 5960.75...Thirty minutes after the close on December 18, 2024, I followed up with this commentary for MPTraders:My preliminary "conclusion" about today's outsized 3.
On December 20, 2024, this is what we discussed about the relentless four-week correction from NVDA's ATH at 152.89 (11/21/24) to a low at 126.35 on 12/20/24:Three Times is a Charm? For the third time this week, NVDA spiked down into the lower reaches of my optimal corrective target window from 132 to 125-- this AM representing the latest spike low at 126.35-- and for the third time, buyers emerged, propelling NVDA higher to 130-132. As we speak, NVDA is trading at 131.
On December 13, 2024, with NVDA trading at 132.54, down 13.3% from its All-Time High at 152.89 (11/21/24), and bearing down on a critical 8-week support plateau at 131-132, this is what I posted to MPTraders:NVDA Update: Approaching key support in the vicinity of 132 that if violated and sustained, could unleash the downside potential derived from a two-month top formation (everyone sees the Head and Shoulders formation by now).