Following Up On Palo Alto Networks And Salesforce.

The market is prone to rally into the January 7^th to 11^th time-frame. Right here is how the month of December seems from three completely different viewpoints:

Seasonally, the indices have been down about 61% of the time from the 8^th by way of the 15^th. Semiconductor shares have tended to steer the decline in that interval, down 65% of the time. From the 15^th the DJIA has risen 74% of the time into January 11^th since 1885.

The strongest shares proceed to steer the market. Relatively than make new inventory picks, allow us to evaluate prior ones and consider prospects into January.

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Palo Alto Networks
PANW
was really useful on June 26^th at $243.8 and is presently buying and selling at about $296, a 21% rise. There have solely been ten years of buying and selling, however value has risen in seven of ten years within the month of December. This bullish view is supported by the month-to-month cycle beneath which initiatives larger costs into January. In reality, the primary two months of the yr have seasonally been the strongest of the yr. The weekly value chart reveals a breakout from a triangle and a brand new excessive in relative power. The share value will possible exceed $325 by early January.

Palo Alto Month-to-month Cycle

Palo Alto Weekly Graph

Salesforce was chosen on July 17^th at $228, rising 14% by the Friday shut. The technical image is powerful. Value reveals a niche up which is the start of a transfer. There are larger lows in momentum and a breakout to the upside in relative power. The weekly cycle factors larger by way of December. The $275-$285 stage is an affordable goal by the tip of the month. Seasonally, the primary two months of the brand new yr have been favorable.

Salesforce

CRM
Weekly Graph

Salesforce Weekly Cycle