Today, we’re going to take another look at Zoom Video Communications, Inc. (ZM).
ZM provides a video-first communications platform for clients all across the world.
When we last took a look at ZM’s chart of the day, it was heading into resistance back in the high 200s.
Since then, the stock has been on an absolute tear, as the work-from-home sector continues to get a boost from the shutdown.
Is ZM finally ready to slow down? Let’s take a look at the daily chart below and see what it says…
Well, ZM has slowed down… at least for a few trading sessions. It’s in a tight coil just below all-time highs, which is bullish. This is sometimes referred to as a “dynamite triangle,” because it could explode to the upside.
This means we can start watching for a buy signal, provided the dynamite triangle plays out as expected and we get continuation to the upside.
Analyst, Chart of the Day