Adobe Inc. - (ADBE) - August 21 2023

Today, we are going to look at Adobe Inc (ADBE) which we last commented on in the June 5th edition of the Daily Stock Report when it just entered the Favored Zone a week prior in the SIA S&P 100 Index Report at a price of $415.39. Now the shares are at $508.13 representing a 22.3% increase in just under 3 months time. The shares currently occupy the #9 spot in the S&P 100 Index, up 1 spot in the last month and 63 spots in the last quarter. Adobe Inc provides content creation, document management, and digital marketing and advertising software and services to creative professionals and marketers. In looking at the attached Candlestick chart of Adobe Inc, we see that the shares found a bottom at around the $270.00 area back in the Fall of last year. The shares broke out of its downtrend line at the beginning of this year and a new rising trend has emerged which continues up to today. Most recently, we see the shares reached a recent high at $550.00 and it has pulled back somewhat as it approaches its 50 Moving Average as a potential Support area. It will be interesting to see if the shares can find its near-term support area here at its 50 Day MA of $505.00. Next potential resistance can be found at its recent high at $550.00 and then the $670.00 to $690.00 range which is around its all-time highs.

In the attached Point and Figure Chart at a 2% Scale, we see the share’s strong rally starting in June of this year which had culminated in a column X’s lasting 24 rows with the shares exhibiting a bullish Spread Triple Top. Most recently, we see a pullback materialize with a column of 3 O’s as it currently sits at its 3-box support level of $506.37. If it can’t hold support here, next level of support can be found at the $449.64 to $458.64 range. Resistance can be found at its recent high at $559.08 and above that, the $668.15 level. With an SMAX Score of 10, ADBE is exhibiting near term strength against all the asset classes.

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