Demandware Inc (NYSE: DWRE)

Demandware, Inc. provides enterprise-class cloud commerce solutions in the United States, Germany, the United Kingdom, and internationally. It offers Demandware Commerce Cloud, a digital commerce platform that enables customers to establish and execute complex digital commerce strategies, as well as facilitates customers in global expansion, omni-channel processes, multi-brand and multi-site rollouts, predictive merchandising, and in-store operations.
Take a look at the 1-year chart of Demandware (NYSE: DWRE) below with the added notations:

DWRE has been trending lower since last July, but over the most recent 3 months the $40 price level (blue) has become very important to the stock. Not only was $40 a key support level back in January, but that level was also resistance multiple times in March. Now that DWRE has broken above $40 that should open the door to higher prices for the stock.

The Tale of the Tape: DWRE has broken through resistance at $40. A trader could enter a long position on a pullback down to $40 with a stop placed under the level. However, if traders are bearish on the stock, a short trade could be made if the stock breaks back below $40.