$ZSNASDAQ:ZS this is building a nice solid consolidation, it already failed one breakout. Once these saas/cybersecurity stocks breakout keep an eye on this.
0ZC trade ideas
ZS - 4 months HEAD & SHOULDERS══════════════════════════════
Since 2014, my markets approach is to spot
trading opportunities based solely on the
development of
CLASSICAL CHART PATTERNS
🤝Let’s learn and grow together 🤝
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Hello Traders ✌
After a careful consideration I came to the conclusion that:
- it is crucial to be quick in alerting you with all the opportunities I spot and often I don't post a good pattern because I don't have the opportunity to write down a proper didactical comment;
- since my parameters to identify a Classical Pattern and its scenario are very well defined, many of my comments were and would be redundant;
- the information that I think is important is very simple and can easily be understood just by looking at charts;
For these reasons and hoping to give you a better help, I decided to write comments only when something very specific or interesting shows up, otherwise all the information is shown on the chart.
Thank you all for your support
🔎🔎🔎 ALWAYS REMEMBER
"A pattern IS NOT a Pattern until the breakout is completed. Before that moment it is just a bunch of colorful candlesticks on a chart of your watchlist"
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⚠ DISCLAIMER ⚠
The content is The Art Of Charting's personal opinion and it is posted purely for educational purpose and therefore it must not be taken as a direct or indirect investing recommendations or advices. Any action taken upon these information is at your own risk.
Zscaler (ZS): RSI Divergence in Market Downturn + other signals- A lot of OBV daily and weekly signals
- Bullish daily Candle when market is weak overall.
- In a sector that might looking to turn around from going down since february.
- A lot of vol sell day before
- False breakdown from a 3 week consildation.
- Profitable company.
Zscaler Stock Jumps 5.94% on Unexpected ProfitZscaler's stock surged 5.94% on an unexpected profit, following a surprise profit of $19.1 million for the quarter. The company posted a revenue of $553.2 million, up 32% from last year and topped analysts' expectations of $535.2 million. Zscaler's fourth-quarter revenue guidance was mostly in line with estimates of $567.6 million, which would be up nearly 25% from the prior-year's reported figure.
The cybersecurity industry has been in a tough spot in recent months, with profit and sales projections from competitors like Palo Alto Networks and Cloudflare dragging down stocks around the industry. Zscaler shares ( NASDAQ:ZS ) were up more than 7% to $167.97 as of 11:03 a.m. ET Friday, but are still down about 24% for the year.
Cybersecurity has become more crucial in recent years amid rising online threats and a rapid rise in artificial intelligence that enable hackers to execute advanced cyberattacks. The cloud-based security solution provider expects fourth-quarter revenue to be between $565 million and $567 million, with its midpoint above market expectation of $565.1 million, according to LSEG data.
Zscaler projects ( NASDAQ:ZS ) adjusted earnings per share of about 69 cents to 70 cents in the fourth quarter, compared with estimates of 68 cents. CEO Jay Chaudhry said that Zero Trust security remains a top IT priority, and an increasing number of enterprises are adopting their platform. Analysts expect budgets for cybersecurity products to rise in the second half, with some customers still waiting for the economy to improve.
The U.S. Department of State has been working with security vendors, including Zscaler, to secure its network after China-linked hackers stole tens of thousands of emails by breaching Microsoft's network last year.
Zscaler - solid financials overlooked by investors create BUY opZscaler (ZS) released solid financial results, above consensus expectations with positive surprise. In addition, ZS provided upbeat guidance for the Full year 2024 and for the next quarter, highlighting continuing growth (above market expectations)
Although on a technical chart the stock looks like a SELL, I see very limited downside potential for the stock given its updated fundamentals. In my view the stock currently presents interesting BUY reversal opportunity and ZS may outperform the market in the coming weeks.
The upside potential 56%+
5/30/24 - $zs - want to own more, but this tape says careful V5/30/24 - vrockstar - NASDAQ:ZS - genuinely pains me to not be super bull into this q - i have a peanut position b/c it's a core compounder for me, but it's small. i've seen all the B2B/ cyber pitches this quarter and NASDAQ:ZS and NYSE:S are today... and if we're playing the odds fam, it's almost hard to see how this sticks and runs at >10x sales, LSD fcf % generation (and a lot of stock comp). the cap isn't small either ( NYSE:S is smaller).
love the founder. best in biz. love the product. probably a top 3 cyber ( NASDAQ:PANW , NASDAQ:CYBR , NASDAQ:CRWD , NYSE:NET , NYSE:S - probably in that order)... but let's be clear, these valuations are simply NOT sticking in this rates paradigm. they should given what rates actually represent (GTFO USD...) but that's the alpha and the patience that come into the equation.
SO in a nutshell. i'm setup to be happy if they beat - will have a small position to decide how to manage - a beat and stock down - great - will figure out how to size up either in print or in coming q (depending on what the reaction is). if it's a miss - let's readdress in the comments. will be listening to the call.
stay solvent. stay safe. have fun. leave any comments below if you'd like contribute to this POV
-V
oh. here's the trends on searches that tbh look stellar, but it's not consumer, it's B2B - so take it for what it's worth, perhaps these are more of a leading indicator than not/ and also let's see how mgmt communicates 2H etc.
trends.google.com
peeking at $ZS Fibonacci levels before its ERZscaler's key competitors:
Cisco: Cisco offers a range of security solutions, including network firewalls and zero-trust security.
Palo Alto Networks: Known for its next-generation firewalls, Palo Alto Networks provides robust threat protection.
Forcepoint: Forcepoint focuses on data-first security.
Netskope: Netskope is a leader in Secure Access Service Edge (SASE) solutions.
Microsoft: Microsoft offers various security services, including cloud-based solutions.
Akamai Technologies: Akamai specializes in web and internet security.
Zscaler (ZS): Potential Pitfalls & Buying Risks ExplainedAt Zscaler, we believe that the subordinate Wave 3 has definitely concluded at 259.61$. Currently, we are in search of Wave 4, which is turning out to be unusually long and has already dropped below the critical level that we had considered as the last reversal point. This significantly diminishes the likelihood of a successful entry, prompting us to refrain from new engagements for now.
Moreover, the RSI indicates that the stock is oversold, which might suggest a buying opportunity. However, given the overall market dynamics and Zscaler's specific situation, we remain cautious. Should the price fall below the 163$ level, it would potentially invalidate our current scenario and suggest that our analysis might be incorrect, boding poorly for Zscaler's outlook.
Considering the current market uncertainties and specific risks associated with Zscaler, we have decided not to place any new entries at this time.
Zscaler (ZS): Breaking Through the CloudZscaler (ZS): NASDAQ:ZS
At the American cloud company Zscaler, we have completed the first 5-wave cycle at the level of $376.11, have since developed Wave II at $84.93, and are now in the overarching Wave III, which should naturally extend far beyond our Alltime High, thus above the current Wave I to also be valid. Currently, we are in the first 5-wave impulse upwards to complete the Wave (1).
We have ended the subordinate Wave 3 here precisely or almost exactly at the level of 161.8%, have since formed a stronger downward trend, and are now in the conclusion of Wave 4, and as can be seen on the smaller timeframe, our entry point is already indicated for Wave 4. This should reach between 38.2% and 61.8%. If we should fall below that, we should also reconsider this bullish scenario, but we would set a market entry here as we have already fallen into the buying zone and expect a rise above Wave 3, so above the level of $259.6.
ZS short term upward reversal. ZS is trying to reverse downtrend. Bearish upthrust has been weakening over the last two weeks and price has already set daily higher low on the pre-market. For reversal to happen bulls must protect 192.5 and build value above 196.
If the reversal happens it will probably not to last long as we're in a monthly consolidation. But it still can provide some nice profit
Example of a possible trade is shown on the graph.
Disclaimer
I don't give trading or investing advice, just sharing my thoughts.
StocK Growth: $ZS InvestmentNASDAQ:ZS , Zscaler Inc., operates in the cloud-based internet security sector, offering a range of services crucial for modern cybersecurity. Founded in 2007, the company has shown resilience and innovation in its field. Here's an analysis of its current position and investment potential.
Analysis:
1. Bullish Trend: The stock is experiencing a bullish trend, indicating positive market sentiment and potential for upward movement in share prices.
2. Support and Resistance Levels: NASDAQ:ZS has established support levels between $172 and $202, indicating strong buying interest within this range. A resistance target at $250 suggests potential upward momentum.
3. Buy Wholesale, Sell Retail: With the stock trading within the support range, it aligns with the principle of buying wholesale and selling retail, indicating a favorable time for investment.
4. Stochastic Indicator: The Stochastic indicator, although slightly higher than preferred at 62%, indicates that selling pressure within the bullish trend has eased off. This could signal increasing demand for NASDAQ:ZS shares.
Investment Decision:
Considering the bullish trend, well-defined support-resistance levels, and the interpretation of the Stochastic indicator, investing in NASDAQ:ZS seems promising. The current market conditions suggest potential for growth in the stock price.
Conclusion:
Zscaler Inc. ( NASDAQ:ZS ) stands at the forefront of cloud-based internet security, offering essential services in today's digital landscape. With a bullish trend, solid support-resistance dynamics, and favorable Stochastic indicators, NASDAQ:ZS presents an attractive investment opportunity. Investors are encouraged to conduct further research and consider adding NASDAQ:ZS to their portfolio.
ZS got too short, LONG opportunityNASDAQ:ZS has been very "bearish" for almost month but we're still in a monthly uptrend. At the same time there are bearish exhaustion signs: weekly bearish upthrust has diminished, and value area has been overlapping for the last three days. This creates opportunity to capture possible short-squeeze.
It is a high risk trade given the context but upside can be huge. Exercise with caution.
You can see example of possible trade on the chart (conservative profit target)
Disclaimer
I don't give trading or investing advice, just sharing my thoughts.
$ZS Buy the Dip at Megaphone SupportIt's been dropping like a rock recently, but looks like it may be a good buy here at the green uptrend channel support from the April bottom. Also at megaphone support (purple). I would expect it to bounce soon and fill out the megaphone some more before breaking it out down the line.
Target 1: 250 (orange downtrend channel)
Target 2: 283 (purple megaphone resistance)
Target 3: 356 (horizontal resistance near ATH)
ZS - Base and raceZS gapped down on earnings and filling the gap now.
Technically it can complete the Corrective ABC wave here and base above 180-200 .
If the broader market turns bearish, the Corrective ABC wave can turn into bearish Impulsive wave.
Long between 180-200
Stop loss 170
Target#1 - 260
Target#2 - 320, after a pullback
Target #3 - 380, after a pullback
Zscaler (NASDAQ: $ZS) Financial Health and Growth MetricsZscaler (NASDAQ: NASDAQ:ZS ) will release its earnings data after the market closes on Thursday, February 29th. Analysts expect Zscaler to post earnings of $0.58 per share for the quarter. Zscaler has set its Q2 guidance at $0.57-0.58 EPS and its FY24 guidance at $2.45-2.48 EPS.
Zscaler (NASDAQ: NASDAQ:ZS ) last issued its quarterly earnings data on Monday, November 27th. The company reported $0.67 EPS for the quarter, topping analysts’ consensus estimates of $0.49 by $0.18. The firm had revenue of $496.70 million during the quarter, compared to the consensus estimate of $473.36 million. Zscaler ( NASDAQ:ZS ) had a negative return on equity of 21.39% and a negative net margin of 9.54%. The firm’s revenue was up 39.7% on a year-over-year basis. During the same period in the prior year, the business earned ($0.47) EPS. On average, analysts expect Zscaler to post $-1 EPS for the current fiscal year and $-1 EPS for the next fiscal year.
Zscaler ( NASDAQ:ZS ) stock today fell 14% in sympathy with the 28% plunge in shares of cybersecurity competitor Palo Alto Networks ( NASDAQ:PANW ), which lowered guidance and said a shift in its go-to-market strategy would weigh on revenue and billings growth over the next 12 to 18 months.
Trading around $213.92, Zscaler ( NASDAQ:ZS ) stock is still up 11% since the company in late November reported that fiscal Q1 (Oct.) revenue advanced 40%, double Palo Alto’s top-line growth rate in the comparable quarter. Zscaler ( NASDAQ:ZS ) will release FQ2 (Jan.) results on February 29.
Zscaler Price Performance
Shares of NASDAQ:ZS opened at $213.92 on Thursday. The company has a market cap of $31.73 billion, a P/E ratio of -184.41, and a beta of 0.86. Zscaler ( NASDAQ:ZS ) has a 50-day MA price of $229.99 and a 200 day moving average price of $173.81. Zscaler ( NASDAQ:ZS ) has a debt-to-equity ratio of 1.40, a current ratio of 1.96 and a quick ratio of 1.96. Zscaler ( NASDAQ:ZS ) has a 1 month low of $202.86 and a 1 month high of $260.51.
Zscaler: Knock, Knock… ✊The Zscaler share is currently trying to establish itself above the $227.29 mark. According to our primary expectation, it should succeed in doing so and should travel a good bit further before it discards the high of the turquoise wave 3. However, there is also a 30% probable alternative, which comes into force in the event of an imminent fall below $206.67. In this case, the price would already be working on the turquoise wave alt. 4.
ZS Zscaler Options Ahead of EarningsIf you haven`t bought ZS ahead of the previous earnings:
Then analyzing the options chain and the chart patterns of ZS Zscaler prior to the earnings report next week,
I would consider purchasing the 185usd strike price Puts with
an expiration date of 2023-12-15,
for a premium of approximately $6.45.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Looking forward to read your opinion about it.
