Pegasystems Inc  (PEGA -$0.96 or -1.02% to $32.76) gapped up today but then negatively reversed for a loss on light volume, pulling back near its 50 DMA line. This high-ranked Computer Software - Financial firm quietly ended the week just above that short-term average line. An upward trendline (not drawn) connecting its July-October lows also coincides in that area, helping define an important technical support level to watch.  Violations could trigger technical sell signals, with its 10/02/09 intra-day low ($30.38) the next chart support level to keep an eye on.

The number of top-rated funds owning its shares rose from 43 in Sep '08 to 80 in Jun '09, which is a solid reassurance concerning the investment system's I criteria. PEGA has shown solid sales revenues increases and +25% earnings increases in the 3 last quarterly comparisons versus the year ago period. It also appears to have an easy comparison in the upcoming report for the quarter ended September 30, 2009 versus the year ago period's earnings of only 6 cents per share. The previously noted downturn in annual earnings (the A criteria) from 2003 to 2006 has been followed by a solid turn around and big earnings increases in '07 and '08, and Street expectations for '09 are calling for well above +25% growth.