The USD 10.3 support, currently tested, should allow Xerox Corporation to rally again.

From a fundamental viewpoint, the company seems undervalued relatively to its peers with a EV/Sales of 0.87. Moreover, with an EPS estimated at USD 2.2 for this year and USD 1.05 for the next year, Xerox Corporation is currently paid 4.73 and 9.93 times its profits.

Technically, the security is in a negative configuration in the short term as the bearish trend of 20-day moving average, currently at USD 11.4, shows. Nevertheless, the stock seems in an oversold situation, and is near to its USD 10.3 support in daily data. This level might stop the bearish trend in the short term.

Considering technical and fundamental elements, it seems to be an appropriate timing to immediately take a long position in Xerox Corporation in order to benefit from the USD 9.61 support area. A first target price will be the USD 11.16 resistance. A stop loss order will be placed under the mid-term support currently tested. Only a crossing of USD 11.16 would validate a bullish trend in order to aim a higher target price.