Zoom stock climbs after analyst upgrade

Zoom Video Communications (ZM.US) launched today’s session higher after Morgan Stanley upgraded the company's shares to overweight from equal-weight citing its stronger positioning heading into the second half of the year. Analysts lifted the price target to $400 from $360 as in their opinion the global video conferencing service is building a durable platform for growth and has the potential to surprise on the upside over the next year and investor concerns on small-and-medium-sized business turnover "are outweighing continuing growth potential of enterprise business, particularly as platform expands."

Zoom (ZM.US) stock launched today's session with a bullish price gap, however buyers failed to break above major resistance at $360.00 and price pulled back. Currently stock is testing local support at $343.50 which is marked by lower limit of the 1:1 structure and 50% Fibonacci retracement of the last upward wave. Should break lower occur, downward move may accelerate towards next support at $331.50. Source: xStation5