u s stock focus qualys medium term uptrend remains intact 1854752017

Medium-term technical outlook on Qualys (QLYS)

(Click to enlarge chart)

Key technical elements

• The recent pull-back of 11%  from its year to date high of 44.35 printed on 15 May 2017 has stalled right at the former swing high areas of 02 December 2015 and 05 October 2016 now turns pull-back support.
• Current price of Qualys is also hovering right above the lower boundary of its medium-term bullish ascending channel in place since 09 February 2016 low now acting as a support at 37.25.
• The daily RSI oscillator has also manage to stage a rebound from its corresponding support at the 43% level which suggests that upside momentum of price action has resurfaced.
• The next significant medium-term resistance stands at the 47.95/49.70 zone which is defined by the gap resistance seen on May/June 2015, the 0.764 Fibonacci projection of the up move from 09 February 2016  low to 05 October 2016 high projected from 22 December 2016 low.

Key levels (1 to 3 months)

Intermediate support: 39.45

Pivot (key support): 37.25

Resistances: 44.20 & 47.95/49.70

Next support: 30.60/20

Conclusion

Therefore, as long as the 37.25 pivotal support holds, Qualys (QLYS) is likely to resume its potential impulsive upleg within its medium-term uptrend in place since 09 February 2016 low to retest the May 2017 swing high area of 44.20 before targeting the next resistance zone of 47.95/49.70.

On the other hand, a break below 37.25 may damage the on-going medium-term uptrend to open up scope for a corrective decline towards the next support at 30.60/20 (congestion zone of August/December 2016 & close to the 50% Fibonacci retracement of the up move from 09 February 2016 low to 15 May 2017 high.

Chart is from eSignal

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