CSCO hold primary support at $78.05 amid potential short-term pullback
$Cisco(CSCO)$
Cisco Systems(CSCO) Tested $87.25 High: Momentum Builds After Strong Earnings
Latest Close Data
Closed at $86.78 (ET), up +2.31% ($1.96), just 0.54% below its 52-week high of $87.25.
Core Market Drivers
The stock is riding post-earnings momentum. Strong demand for its networking hardware and security solutions, coupled with a solid dividend yield of 1.88%, continues to attract investors. Positive sentiment in the broader tech sector is providing a tailwind.
Technical Analysis
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Volume was 22.9M shares (Volume Ratio 0.76), slightly below average, indicating consolidation after the recent run-up.
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MACD (DIF: 2.21, DEA: 1.17, MACD: 2.07) shows a strong bullish expansion.
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RSI(6) at 83.56 is in overbought territory, signaling potential for a short-term pullback or consolidation.
Key Price Levels
* Primary Support: $78.05 (Recent swing low & psychological level).
* Strong Resistance: $87.25 (52-week high).
* Immediate Pivot: $86.85 (Previous resistance, now a key level to hold).
Valuation Perspective
Forward P/E of 21.06 is above its historical average of 15.15, indicating the market is pricing in future growth. The TTM P/E is 33.51, reflecting its status as a mature, cash-generating tech leader.
Analyst Targets
18 analysts have an average target price of $86.18, with a high of $100. Sentiment is bullish: 5 Strong Buy, 12 Buy, 8 Hold.
Weekly Outlook
Expect consolidation between $84.30 (recent low) and $87.25 (high). A decisive break above $87.25 could target the $90-$92 zone. A break below $84.30 may signal a pullback towards $81-$82 support.
Risk Disclaimer
This analysis is for informational purposes only and not financial advice. Past performance is not indicative of future results. Investing involves risk, including the potential loss of principal.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
