Ciena Corp. (CIEN) has trended higher the past year and recently made a new high for the move up -- impressive in this current market environment. Let's check out the charts and indicators to see if this strength can continue.
In the daily bar chart of CIEN, below, we can see prices testing the rising 50-day moving average line. The 200-day moving average line is still pointed up and intersects around $28.
The daily On-Balance-Volume (OBV) line has also risen the past year and tells me that buyers of CIEN has been more aggressive for months. The Moving Average Convergence Divergence (MACD) oscillator has been above the zero line for much of the past year.
In the weekly bar chart of CIEN, below, we can see a rise going back to early 2016. Prices are above the rising 40-week moving average line.
The weekly OBV lien shows a three-year uptrend and the weekly MACD oscillator has been above the zero line since February/March.
In this Point and Figure chart of CIEN, below, we can see a major breakout at $28 and an upside price target of $50 being projected.
Bottom-line strategy: Traders looking for stocks with upside potential should put CIEN on their shopping list. Consider the long side of CIEN around $31 risking below $29.