CSCO Chart – March 5, 2010

I charted Cisco ($CSCO) while it was trading at $25.07 mid-afternoon today.  What drew my attention to it was that it stopped at the exact same price as its intraday high from January 15th, $25.10, before backing off from it.  There’s still time left in the day for CSCO to make a run higher, but hitting resistance at the same range, let alone the exact same price might mean CSCO is ready to take a breather from its current rally.

Adding to that theory is that CSCO is at the top of its trading channel and should at least bump sideways before reaching new highs.  While CSCO has edged higher the past couple of days, the volume has been nothing to write home about.  CSCO could take a $0.50 dip from its current level and not fall below its 10 day moving average.  That would line up with the trend line of higher lows and could be a great entry point if you’re not already invested in it.