The USD 20.4 support area, currently tested, might facilitate a technical rebound and the company’s fundamentals could validate the exaggeration of the bearish movement.

In the recent months, the earnings estimates for 2014 have been upward revised by analysts. With an EPS estimated at USD 1.27 for this year and USD 1.38 for the next year, Symantec is currently paid 16.16 and 14.94 times the results which is in the average of its peers group.

Currently the stock is oversold and, in the mid-term, is trading in a bearish trend. In the short term, this trend could reversed upon contact with the USD 20.42 area tested for the third time. Symantec Corporation should be able to confirm its rebound in the next trading sessions. This support is a trading opportunity in order to anticipate a technical rebound towards USD 22.2 and by extension towards USD 22.9.

The trading strategy can benefit from the proximity of the strong support currently tested in order to buy Symantec in a good timing. Investors might place a stop loss order at USD 19.7 in order to avoid important losses.