Will CSCO Stock Retest YTD High?

Cisco stock price took support near the $51.00 level and showed a minor recovery of approx. 4.00% from the lows.

Buyers are trying to push the price above the 50-day EMA to reverse the short-term trend in the upward direction. However, the price is losing momentum; indicating that sellers are still active near the $53.00 level.

In the last two months, CSCO stock price traded in the bear’s grip and eroded the 50% gains generated in 2023. The downfall halted near to $51.00 and buyers came forward to push the price higher.

However, the question is whether the buyers can hold the recent gains and continue the upward momentum or not. The price action tells the investors that the current price is near the supply zone, so it will be difficult for the bulls to give the follow-up momentum.

On a daily time frame, CSCO stock price seems to be stuck in the range between $51.00 to $54.00. The next direction will be visible when the price breaks either side of the range.

Cisco stock price closed the previous session at $53.00 with an intraday decline of -0.24%. The market capitalization stands at $214.68 Billion.

Will Cisco Stock Price Consolidate More?

Cisco stock price is in a recovery phase and buyers are trying their best to expand the range in an upward direction. Cisco Systems Inc. is scheduled to report quarterly earnings on November 15, 2023.

Market analysts predicted an EPS of $1.032 and revenue of $14.626 Billion. By analyzing the historical records, one may say that the company might report positive earnings and may beat the estimates.

However, the mystery is how the CSCO stock price will react after earnings. The analysis suggests that the Cisco shares may test the $55.00 level in the upcoming sessions. But it will be difficult for the bulls to sustain above it.

Will CSCO Stock Price Face Rejection From Higher Levels?

CSCO stock price formed a bullish engulfing candle last week. But buyers are failing to give the follow-up momentum in the current week. It shows sellers are still active and may face rejection from higher levels.

The MACD line positively intersected with the average line denoting a bullish crossover. The histogram bars are green indicating mild bullishness. However, the supertrend says that till the Cisco stock price trades below $54.00, the trend will remain down.

Conclusion

Cisco stock price reverses upward by taking support near the $51.00 level. However, the price is near the supply zone, so buyers may face difficulty in giving a follow-up.

The analysis suggests that till the CSCO stock price trades below $55.00, the bears will remain active and restrict the further upside.

Technical Levels

Resistance Levels: $54.50 and $56.00
Support Levels: $51.10 and $50.09

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing