Tableau Software (DATA) was mentioned by TheStreet's Jim Cramer last night on his "Mad Money" program as a cloud name that was coming back from October's decline. DATA saw a 45% rise in its recurring revenues this quarter, news that sent its shares up sharply.
Let's take a look at the charts and indicators to see how far DATA may run.
In this daily bar chart of DATA, below, we can see that prices have performed strongly the past 12 months. Prices corrected in October and successfully tested the rising 200-day moving average line.
The rally this month has taken prices above the rising 50-day moving average line and over the September highs.
The daily On-Balance-Volume (OBV) line has risen from January and hardly declined in October telling me that DATA longs stayed long. The OBV line is close to making a new high for the move up. This would help confirm the price gains.
The Moving Average Convergence Divergence (MACD) oscillator is about to cross the zero line for a buy signal.
In this three-year weekly bar chart of DATA, below, we can see a double bottom at $40 with prices tripling from those lows. DATA has stayed above the rising 40-week moving average line.
The weekly OBV line has been rising from early 2017 and is still pointed up.
The weekly MACD oscillator has turned up for a fresh outright go long signal.
In this Point and Figure chart of DATA, below, we can see the upside breakout at $118.86 and the price projection of $136.
Bottom line strategy: DATA should trade sideways for a few days to "catch its breadth" and traders could use that neutral action to go long. Risk below $110 looking for the $135 area on the upside.