salesforce.com, Inc. (NYSE:CRM) A quick look shows the stock is up 0.2% at $270.90.blue chip stocks cloud technology stocks has recently suffered a bearish gap on the charts, moving away from its all-time high of $318.72 on March 1st. The stock has fallen 11.6% in the past month and is nearing breakeven since the beginning of the year, but a historically bullish trend line could turn things around.
Specifically, Salesforce.com's stock price has settled within just one standard deviation of its 126-day moving average after several months of trading above this trend line. One similar signal has been seen over the past three years, according to data from Rocky White, senior quantitative analyst at Schafer. CRM enjoyed a positive return after its first month, registering a 5.5% increase. From its current perch, a comparable move would take the security to almost $286.
The stock's 50-day put/call volume ratio on the International Stock Exchange (ISE), CBOE, and Nasdaq OMX PHLX (PHLX) is 0.91, which is at the high 85th percentile of its annual range. This suggests that recent long put appetite is very healthy, and the stock could rise once this pessimism lifts.
The stock's 14-day relative strength index (RSI) is “oversold'' at 23.9 points, providing a short-term tailwind. Options are also reasonably priced right now, according to the Schaefer Volatility Index (SVI) for Salesforce.com stock, which ranks in the 20th percentile at 29%.
