SolarWinds Inc (NYSE: SWI)

SolarWinds, Inc. designs, develops, markets, sells, and supports enterprise-class information technology (IT) and infrastructure management software to IT professionals in various organizations worldwide. The company offers enterprise-class network management products, including SolarWinds Network Performance Monitor that monitors and analyzes network performance metrics for routers, switches, servers, and other simple network management protocol enabled devices; additional network management products for various network management issues; and SolarWinds Log and Event Manager, a server-based product that automates the collection and interpretation of logs from various sources.
Please take a look at the 1-year chart of SWI (SolarWinds, Inc.) below with my added notations:

SWI appears to have been forming a base over the last several months. A couple of times over that period the stock hit a key resistance level at around $40 (blue). Earlier this week SWI finally broke up out of its base and above that important $40 level. The stock should be moving overall higher from here, and so far seems to have resisted the general $42.50 area as expected.

The Tale of the Tape: SWI had a key level of resistance at $40 that should now act as support on any pullbacks. A long trade could be entered on a pullback to $40 with a stop placed below that level. A break back below $40 could negate the forecast for a move higher.
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