$CTXS was one of the featured stocks in the last edition of StockTwits 50. Since its earnings breakout on July 29th, the stock has been holding above its rising 20 day SMA. On Sep 1st, $CTXS accelerated its pace of price appreciation and started to obey its rising 10 day SMA. The next earnings report is scheduled for October 21st, AH.
Citrix Systems, Inc has a long history on beating its analysts’ consensus estimates by a small margin and then guiding conservatively. After series of consecutive earnings surprises, the market tends to catch up and tries to discount a potential future surprise in advance. If the general market continues to cooperate, there is a high probability that $CTXS will try to rally before its Q4 report.
I would be a buyer on a pullback to its 20 day MA. An exit signal will be given when the following conditions are met:
– the stock closes below its 20 day MA;
– the low of that day is violated.
