Ciena Shares Are Ramping With This Signal
So, what’s Big Money? That’s when a stock goes up in price alongside chunky volumes. It’s indicative of institutions betting on the shares.
Smart money managers are always looking for the next hot stock. And Ciena has many fundamental qualities that are attractive.
Your capital is at risk
This sets up well for the stock going forward. But how the stock trades is what points to more upside. As I’ll show you, the Big Money has been consistent in the shares for years.
You see, fund managers are always looking to bet on the next outlier stocks…the best in class. They spend countless hours sizing up companies, reading reports, speaking to analysts…you name it. When they find a company firing on all cylinders, they pounce in a big way.
That’s why I’ve learned how critical it is to gauge Big Money demand for shares. To show you what I mean, have a look at all of the big money signals CIEN has made the last year.
The last few days has seen Big Money activity, too. Each green bar signals big trading volumes as the stock ramped in price:
In 2021 alone, CIEN made 3 of these rare signals. This came after a big selloff late last year. Generally speaking, that means more upside is ahead.
Now, let’s check out a few technicals grabbing my attention:
- YTD outperformance vs. market (+.15% vs. SPY)
- YTD outperformance vs. technology ETF (+5.57% vs. XLK)
Outperformance is huge for leading stocks.
Marrying great fundamentals with technically superior stocks is a winning recipe over the long-term.
In fact, Ciena Corp. has been a top-rated stock at my research firm, MAPsignals, multiple times the last few years. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.
CIEN has been a constant Big Money favorite since 2018. And since its first appearance on this report, it’s up +125%:
Let’s tie this all together.
Ciena Corp. continues to fire on all cylinders technically alongside growing sales. With many high-quality growth stocks beginning to breakout with Big Money, I like the long-term story of the stock.
The Bottom Line
The CIEN rally likely has further upside. Big money buying in the shares is signaling to take notice. Shares could be positioned for a bounce soon. Given the historical gains in share price and strong fundamentals, this stock could be worth a spot in a growth-oriented portfolio.
Disclosure: the author holds no position in CIEN at the time of publication.
Learn more about the MAPsignals process here.