Plurilock Security Inc (PLUR.V) is a Canadian identity-centric cybersecurity solutions company. The cybersecurity company provides multi-factor authentication (MFA) solutions using behavioral-biometric, environmental, and contextual technologies.
Today, Plurilock announced a contract renewal for its flagship cybersecurity software with an overseas security solutions provider.
The Customer delivers various security solutions across different verticals such as property, personal, systems and facilities. According to the terms of the contract, the Customer has renewed its subscription for the cloud security functionality of the Plurilock platform, which includes Access Control Management.
“We are pleased to renew a contract with an overseas security solutions provider,” said Ian L. Paterson, CEO of Plurilock. “A key focus of our sales strategy is to maintain strong relationships with existing customers in order to achieve high customer retention. Moving forward, we will continue to secure additional contract renewals for our high margin software offerings.”
The stock is up over 12% on the news at time of writing. More importantly from a technical analysis perspective, the stock is bouncing at a major support zone on a retest. This is telling us that buyers are here at our important zone.
The stock continues to move the way I have highlighted for readers in previous Plurilock news articles. The breakout is still in play as long as we hold above $0.16. $0.25 is the next resistance zone to be tested, and a breakout above this zone just continues the new uptrend.
Rarely in a new trend do we see the trajectory go straight up right away. As you can see on the right of my candles, I have outlined the typical breakout trajectory with blue arrows. Currently, Plurilock is in the ‘pullback and retest’ phase. But more emphasis on the pullback. Breakouts tend to see the price of the stock pullback to the breakout zone, in this case the $0.16 zone, before continuing the move higher. This provides bulls who missed the initial move to enter a position at support or price floor which acts as a demand zone.
I would watch for this pullback, but if buyers step in before this, then the bullish sign would be a confirmation of the first higher low. Higher lows (and higher highs!) are the skeleton of uptrends. A higher low is confirmed once the stock pulls back and then rises to take out previous highs. A candle close above $0.22 confirms this.