Working from home is not a fad, it's the new way of doing business, Jim Cramer told viewers of his Mad Money program Thursday night. Cramer commented on Wednesday's decision by Salesforce.com (CRM) to extend their work-from-home policy until June 2021. Working at home has implications for our economy, Cramer continued. Many investors feel these trends are fads, but they're rapidly becoming serious opportunities. I'm curious to see what the charts of CRM look like now.
In this daily bar chart of CRM, below, we can see that prices lost ground from February to March but quickly rallied back in the subsequent months. Prices are trading above the rising 50-day moving average line and dips towards the line have been bought in recent weeks. The 200-day moving average line has a bullish slope.
The On-Balance-Volume (OBV) line bottomed in March and has been moving higher which tells us that buyers of CRM are more aggressive.
The Moving Average Convergence Divergence (MACD) oscillator crossed above the zero line back in late April and has stayed above the zero line in bullish territory. This indicator looks like it is curving back to the upside now for a fresh buy signal.
In this weekly bar chart of CRM, below, we can see that prices made a large sideways consolidation around the $150 or $160 level. Prices have broken out on the topside. Prices are above the rising 40-week moving average line.
The weekly OBV line is firm and shows an upward tilt for the past three years. The MACD oscillator is in a bullish alignment.
In this daily Point and Figure chart of CRM, below, we can see an upside price target of $223.
In this weekly Point and Figure chart of DE, below, we can see a potential price target in the $269 area.
Bottom line strategy: CRM continues to climb higher. Trade from the long risking a close below $190 for now. Our targets are the $223 area and then the $269 area.
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