Ciena Corp. (CIEN) is scheduled to report its latest quarterly financial numbers Thursday before the market opens. The share price of this networking systems, services, and software company has been under pressure since the beginning of 2022 but now some buying interest (support) has developed.
Let's check out the charts and indicators.
In the daily bar chart of CIEN, below, we can see some bullish divergences that give us some reason to look for a rally. Prices are still in a downward trend and trade below the declining 50-day moving average line. The slope of the slower-to-react 200-day line is also negative.
The daily On-Balance-Volume (OBV) line also shows us a bullish divergence as it has not made a new low for the move down since March even though prices have made new lows into May. The 12-day price momentum study shows higher lows from March to May for another bullish divergence.