Current trend

Shares of IBM Corp., a giant in the field of development and sale of hardware software, are moving in a correction trend at 231.00.

Leading analysts confirm their confidence in the continuation of the quotes’ growth. Thus, Evercore Inc. specialists retained their overweight rating, with the target price of 240.00, expecting revenue at 15.00B dollars and earnings per share of 2.22 dollars. Experts believe management can use the expected expansion of the software market in 2025 and disruptions in competitors. In their opinion, such segments as Red Hat (RHT) and Transaction Processing Platforms (TPP), as well as the recently announced artificial intelligence (AI) model Granite 3.0, have the greatest potential.

The company’s financial report is due this evening: according to preliminary estimates, revenue will decrease from 15.80B dollars to 15.04B dollars, higher than 14.75B dollars in the same period a year earlier, and earnings per share – from 2.43 dollars to 2.22 dollars compared to 2.20 dollars.

Support and resistance

On the daily chart, the trading instrument is moving within the global uptrend, correcting in the ascending channel 250.00–220.00.

Technical indicators maintain a buy signal: the EMA fluctuation range of the Alligator indicator remains wide, and the AO histogram forms correction bars above the transition level.

Resistance levels: 236.00, 251.00.

Support levels: 228.00, 213.00.

Trading tips

Long positions may be opened after the price rises and consolidates above 236.00, with the target at 251.00. Stop loss is 230.00. Implementation period: 7 days or more.

Short positions may be opened after the price falls and consolidates below 228.00, with the target at 213.00 and stop loss 235.00.