Extend Your Workday

 | Jun 02, 2017 | 2:21 PM EDT
  • Comment
  • Print Print
  • Print
Stock quotes in this article:

wday

We commented on Workday (WDAY) just recently, where we concluded that, "After this possible "breakout shakeout," we could see WDAY move substantially higher with $140 a possible longer-term upside objective."

With WDAY putting in a strong upside performance so far today, this is a good time to take a fresh look at the stock. Let's look at some updated charts and indicators.

In this daily chart of WDAY, below, we can see that prices corrected sideways around $100 instead of making a pullback to the breakout point. While I am slightly disappointed that Mr. Market decided not to listen to me, it shows me that buying interest in WDAY was stronger than I anticipated. A sideways correction instead of a pullback is a sign of strength, in my opinion. Buyers are anxious to put money to work at the unchanged level instead of on a dip.

WDAY remains above the rising 50-day and 200-day moving averages. The daily On-Balance-Volume (OBV) line has continued to rise to new highs confirming the rally and telling us that buyers continue to be aggressive. The Moving Average Convergence Divergence (MACD) oscillator remains in a bullish mode and pointed higher.

In this weekly bar chart of WDAY, below, we can see how prices have stayed above the 2016 high and could challenge the late 2013/early 2014 highs. The 40-week moving average line is pointed up as is the weekly OBV line. A new high for the move up in the OBV line would be welcomed. The weekly MACD oscillator is in a bullish pattern above the zero line.

In this Point and Figure chart of WDAY, below, we can see the straight-up rally in price -- no pullback of $3 to give us a column of O's. The chart we showed last month projected a potential rally to $140 and we selected this chart for its interim price target of $114.

Bottom line: If you are long WDAY you are in the driver's seat. I would raise sell stop protection to a close below $98 while looking for $114 and then possibly $140 as price targets.

Columnist Conversations

As far as TSLA is concerned, I still have a higher target above the market at the 409 area.  I stated in ...
The TLT setup discussed in my last commentary is a bust. Key support was violated and it violated the recent l...
BBY is getting smoked this mornings(weak forecast).  The stock is off 8% after opening the session with a...

BEST IDEAS

REAL MONEY'S BEST IDEAS

News Breaks

Powered by

BROKERAGE PARTNERS

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.


TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.