Cisco Technicals

Cisco gapped up over $1 (6.5%) at the open, based on their earnings. A 3 year chart shows the breakout in 2003, the subsequent breakdown in 2004.

The stock is likely to run into some resistance at $20-21.

click for larger chart

Csco_q106

Disclosure: No Position

Note that since I am no longer on the Sell Side, the compliance rules on posting items such as this have become dramatically easier . . .

What's been said:

Discussions found on the web:
  1. royce commented on Feb 8

    Didn’t the CNBC crew go through the whole “tech boom is coming”/”Cisco is the most undervalued stock out there” a year or two ago? Seems like I’m in some kind of groundhog day thing.

  2. c! commented on Feb 8

    CSCO’s a dog and you all know it.

    their push into consumer electro/video delivery will most likely compress margins.

    This stock is dead money for another 12 months.

    This stock is so bad, I’d rather buy Overstock.com — wait, on second thought, I take that back….

  3. Brian commented on Feb 8

    I sold all my CSCO last year so that might be a sign of a bottom and it’s about to start a 5-year run.

    (No, I didn’t buy it at 80, I bought it in 2002 for $12 something. . . of course I should have bought some oil stocks instead).

    Is hard to think of a reason to buy any of these megacaps when you’ll be getting 5% in a money market. . .

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