Ubiquiti Networks Inc. (UBNT) was a member requested update the other day. Is now a good time to invest or is it better to wait? That was the question I was asked about this stock.
Straight from Ubiquiti Networks Inc. (UBNT) webpage:
Ubiquiti Networks® develops high-performance networking technology for service providers and enterprises. Our technology platforms focus on delivering highly advanced and easily deployable solutions that appeal to a global customer base in underserved and underpenetrated markets. Our differentiated business model has enabled us to break down traditional barriers such as high product and network deployment costs and offer solutions with disruptive price-performance characteristics. This differentiated business model, combined with our innovative proprietary technologies, has resulted in an attractive alternative to traditional high-touch, high-cost providers, allowing us to advance the market adoption of our platforms for ubiquitous connectivity.
Now that we have a basic knowledge of the company and its networking technology, let's review some charts!
Ubiquiti Networks Inc. (UBNT)
This is a 1 year daily candlestick chart for Ubiquiti Networks Inc. (UBNT). Rather than my usual 20 year chart to start off the article, I wanted to focus short-term based on the question posed.
After an earnings miss, UBNT had a Falling Window candlestick pattern develop. This is an area of stiff resistance that is usually not penetrated on its first attempt. Facebook took 2 attempts to break back above its Falling Window resistance area from 2 earning reports ago.
Ubiquiti Networks Inc. (UBNT) does look like a reversal is imminent. It formed a Hammer candlestick pattern right at the end of a Bearish Impulse wave pattern. This indicates to me the bounce is ready.
In order to set some expectations for UBNT's share price, I would recommend pulling up a 6 month daily candlestick chart for….
If you want to continue reading this article for Ubiquiti Networks Inc. (UBNT), you must first login. I review a trading opportunity that is currently presenting itself, including the buy-in price target and sell target for the short-term. I also discuss items to monitor during its attempted recovery over the next couple of weeks.
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