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.
On April 5, Mike Paulenoff discussed the following with MPTrader members about the significant negative behavior of the equity indices in general and the SPY (SP 500 Equity Index ETF), writing:"... Yesterday's nosedive in the price action left behind a Bearish Engulfing Candle in SPY, SPX, ES, et al... My attached Big Picture Chart of SPY shows the powerful, relentless Oct-Apr. advance from 409.21 to 526.
On March 13, amid a broad discussion about the emerging bull phase developing in the precious metals and miners, Mike Paulenoff posted this about WPM (Wheaton Precious Metals) to our MPTrader discussion room:From a more Silver-Gold perspective (if FCX is perceived to be Copper-centric), let's notice that WPM strength is pushing up against its near-term resistance line in the vicinity of 45.
Right after the opening bell on the morning of October 20, 2023, Mike Paulenoff posted the following GLD (SPDR Gold Trust) commentary to our MPTrader Discussion Room:"For all of the long-suffering Gold Bugs... As we speak, GLD is attempting to take out key 5-month resistance lodged between 181.20 and 184.40, which if successful and sustained, will point GLD to 188-190 next... Last is 183.88...
During the afternoon session of February 15, this is what Mike Paulenoff posted to the MPTrader Discussion Room about the technical setup in the oil service company SLB (Schlumberger):"This name in the oil service sector exhibits a well-demarcated 4-year bullish channel with the SLB price structure upturning off of the lower boundary line in the vicinity of 47.00 (the 2/13/24 low) amid a glaring double non-confirmation of the weakness into the lower channel line.
On December 26, 2023, fellow MPTrader member FJB asked me the following question: Mike - do you feel comfortable giving some of your top sectors for next year if you have any? This was my response:In order of preference based on my technical setup work:1- XLV (Healthcare)2- XLB (Materials)3- XLE (Energy)4- XLI (Industrials)5- XLF (Financials)As of the close this past Friday, 3/15/24, YTD results showed XLV +6.58%, XLB +6.15%, XLI +7.06%, XLF +8.54%, and XLE (Energy) leading all sectors, at +9.27%.