Ubiquiti Networks Stock Forecast
Stronger technical forecast for Ubiquiti Networks stock price after Friday trading.
(Updated on Oct 16, 2020)
The Ubiquiti Networks stock price gained 3.70% on the last trading day (Friday, 16th Oct 2020), rising from $191.81 to $198.90. During the last trading day the stock fluctuated 4.55% from a day low at $192.03 to a day high of $200.77. The price has risen in 8 of the last 10 days and is up by 20.36% over the past 2 weeks. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 34 thousand more shares were traded than the day before. In total, 122 thousand shares were bought and sold for approximately $24.23 million.
Given the current short-term trend, the stock is expected to fall -7.73% during the next 3 months and, with a 90% probability hold a price between $134.70 and $183.53 at the end of this 3-month period. Do note, that if the stock price manages to stay at current levels or higher, our prediction target will start to change positively over the next few days as the conditions for the current predictions will be broken.
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UBNT Signals & Forecast
Mostly positive signals in the chart today. The Ubiquiti Networks stock holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at $190.88 and $170.13. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Monday, September 14, 2020, and so far it has risen 30.65%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Volume is rising along with the price. This is considered to be a good technical signal. The stock had a Golden Star Signal on Wednesday, May 06, 2020 in the long-term chart.
Golden Star Signal is when the short-term moving average, the long-term moving average, and price line meet in a special combination. This combination is very rare and often followed by long and strong gains for the stock in question.
Support, Risk & Stop-loss for Ubiquiti Networks stock
On the downside, the stock finds support just below today's level from accumulated volume at $187.49 and $183.50. There is a natural risk involved when a stock is testing a support level, since if this is broken, the stock then may fall to the next support level. In this case, Ubiquiti Networks finds support just below today's level at $187.49. If this is broken, then the next support from accumulated volume will be at $183.50 and $154.36.
This stock may move much during the day (volatility) and with a large prediction interval from the Bollinger Band this stock is considered to be "high risk". During the last day, the stock moved $8.74 between high and low, or 4.55%. For the last week, the stock has had daily average volatility of 2.96%.
The Ubiquiti Networks stock is overbought on RSI14 and lies in the upper part of the trend. Normally this may pose a good selling opportunity for the short-term trader, but some stocks may go long and hard while being overbought. Regardless, the high RSI together with the trend position increases the risk and higher daily movements (volatility) should be expected. A correction down in the nearby future seems very likely and it is of great importance that the stock manages to break the trend before that occurs.
Our recommended stop-loss: $192.54 (-3.20%) (This stock has high daily movements and this gives high risk. The RSI14 is 90 and this increases the risk substantially. There is a buy signal from a pivot bottom found 24 days ago.)
Trading Expectations (UBNT) For The Upcoming Trading Day Of Monday 19th
For the upcoming trading day on Monday, 19th we expect Ubiquiti Networks to open at $197.23, and during the day (based on 14 day Average True Range), to move between $192.46 and $205.34, which gives a possible trading interval of +/-$6.44 (+/-3.24%) up or down from last closing price. If Ubiquiti Networks takes out the full calculated possible swing range there will be an estimated 6.47% move between the lowest and the highest trading price during the day.
With no resistance above and support from accumulated volume @ $187.49, some $11.41 (5.74%) from the current price of $198.90, our system finds the risk reward attractive.
Is Ubiquiti Networks stock A Buy?
Ubiquiti Networks holds several positive signals and despite the stock being in a falling trend, we considered it to be a good choice at these current levels. We expect Ubiquiti Networks stock will perform very well in the next 3 months. We have upgraded our analysis conclusion for this stock since the last evaluation from a Buy to a Strong Buy candidate.
Current score: 5.009 Strong Buy Candidate Upgraded
Predicted Opening Price for Ubiquiti Networks of Monday, October 19, 2020
| Fair opening price October 19, 2020 | Current price |
|---|---|
| $197.23 ( 0.84%) | $198.90 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for UBNT
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 205.97 | 3.56 % | |
| R2 | 202.63 | 1.88 % | ||
| R1 | 200.57 | 0.84 % | ||
| Current price: | 198.90 | |||
| Support | S1 | 193.89 | -2.52 % | |
| S2 | 191.83 | -3.55 % | ||
| S3 | 188.49 | -5.23 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 0 | . | |
| R2 | 0 | . | ||
| R1 | 0 | . | ||
| Current price | 198.90 | |||
| Support | S1 | 187.49 | -5.74% | |
| S2 | 183.50 | -7.74% | ||
| S3 | 154.36 | -22.39% |
FAQ
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