Stock to Watch: Adobe Systems Inc. Sets Up For Sell (NASD: ADBE)

Adobe ended September 10 at a two-month low, losing more than 11.5% from its July 52-week high. On September 17, after the market closes, the company will report for the past quarter. The market expects revenue to increase by 22.7% (YoY) to USD 2.81 billion, with earnings per share up by 13.9% (YoY) to USD 1.97.

Over the last week, Adobe shares showed a decline in value by 2.23% S&P500 went up by 2.52% within the same period.

Support and resistance

The company’s shares started to decline after the prolonged consolidation. Currently, the emitter is testing the support level of 273.00. 281.00 is a “mirror” resistance level. The instrument has the potential to further correction.

Indicators don’t give a clear signal: MA(50) has crossed MA(200), and MACD histogram started to go down. Positions are to be opened from key levels.

Comparing the company’s multiplier with its competitors in the industry, we can say that #ADBE shares are neutral.

Support levels: 273.00, 267.00, 258.50.

Resistance levels: 281.00, 290.00, 300.00.

Trading tips

If the price consolidates below the support level of 273.00, the company’s shares may decline. Potential profits should be locked in by orders at 266.00, 260.00, and 254.00. Stop loss – 280.00.

If the price consolidates above 281.00, one may consider buying #ADBE. The moving potential is aimed at the area of 295.00–300.00. Stop loss – 274.00.

Implementation period: 3 days.

Jun-19-19 Upgrade Stephens Equal-Weight → Overweight $288 → $327

Jun-19-19 Reiterated BofA/Merrill Buy $312 → $323

Jun-19-19 Reiterated BMO Capital Markets Outperform $300 → $315

Apr-29-19 Upgrade Morgan Stanley Equal-Weight → Overweight $282 → $340

Mar-15-19 Reiterated Canaccord Genuity Buy $290 → $300

Mar-15-19 Downgrade KeyBanc Capital Markets Overweight → Sector Weight

Feb-15-19 Downgrade Cowen Outperform → Market Perform $280

Jan-17-19 Initiated Stephens Equal-Weight

Jan-09-19 Initiated Atlantic Equities Neutral $250

Jan-07-19 Upgrade Pivotal Research Group Hold → Buy $262

Dec-14-18 Reiterated Pivotal Research Group Hold $254 → $252

Dec-14-18 Reiterated BMO Capital Markets Outperform $295 → $300

Oct-19-18 Initiated Wedbush Neutral $270

Sep-14-18 Reiterated Stifel Buy $275 → $325

Sep-14-18 Reiterated Pivotal Research Group Hold $235 → $254

Sep-14-18 Reiterated Griffin Securities Buy $278 → $296

Sep-14-18 Reiterated BMO Capital Markets Outperform $278 → $295

Aug-08-18 Resumed Guggenheim Neutral

Jun-15-18 Reiterated Stifel Buy $250 → $275

Jun-15-18 Reiterated Canaccord Genuity Buy $245 → $280

from
https://alphabetastock.com/2019/09/11/stock-to-watch-adobe-systems-inc-sets-up-for-sell-nasd-adbe/