Stocks This Week: Buy Salesforce And Motorola Solutions

The rally last week included a breadth thrust. The percentage of rising stocks was strong enough to trigger this new buy signal. This increase derived from buying in lagging areas such as the S&P 400 and 600. Higher prices lie ahead. The stock selections look forward to August.

Salesforce
CRM
is highly ranked in the Cycles Research screens. We see below that relative strength has been rising all year. Monthly, the stock is not overbought at this point. August has been a strong month for this stock. It has risen 63% of the time for a 3.6% gain. The stock has been the strongest in the S&P in August. The monthly dynamic price cycle also points up through August. This combination of a strong technical position, favorable seasonality, and a rising monthly cycle are constructive. The $275 level is the next price target.