Relative Strength Alert For Ubiquiti Networks

May 9 2014, 3:59pm CDT | by

Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.

In trading on Friday, shares of Ubiquiti Networks Inc (NASD: UBNT) entered into oversold territory, hitting an RSI reading of 29.3, after changing hands as low as $30.50 per share. By comparison, the current RSI reading of the S&P 500 ETF (SPY) is 53.6. A bullish investor could look at UBNT’s 29.3 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of UBNT shares:

Looking at the chart above, UBNT’s low point in its 52 week range is $15.01 per share, with $56.85 as the 52 week high point — that compares with a last trade of $31.38. Find out what 9 other oversold stocks you need to know about »

According to the ETF Finder at ETFChannel.com, UBNT makes up 2.06% of the PowerShares DWA Technology Momentum Portfolio ETF (AMEX: PTF) which is trading lower by about 0.4% on the day Friday.


Special Offer: Manage the risks of the markets better with a free 30 day trial to the Strategic Risk Management System.
/>/>
 
 

Don't miss ...

 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

Irish man tests negative for Ebola virus
Dublin, Aug 22 (IANS) Laboratory test samples of an Irish man, who died after recently returning from Africa, have proved negative for Ebola virus, health authorities in Ireland said Friday.
 
 
Soyuz rocket carrying two Galileo satellites lifts off
Brussels, Aug 22 (IANS) A Soyuz rocket carrying two Galileo satellites, the fifth and sixth of Europe's Galileo global satellite navigation system, lifted off from the spaceport in French Guiana Friday, the European Space Agency (ESA) has announced.
 
 
Fresh cases of Ebola recorded in Nigeria: Official
Abuja, Aug 22 (IANS) Fresh cases of the Ebola virus disease have been recorded in Nigeria, where the highly contagious disease has already claimed five lives, Minister of Health Onyebuchi Chukwu said Friday.
 
 
Fuel cell technology gets a boost
Washington, Aug 22 (IANS) In an impetus for fuel cell technology to build "smart" cars, scientists at Stanford University have developed a low-cost, emissions-free device that uses an ordinary AAA battery to produce hydrogen by water electrolysis.
 
 
 

Latest from the Network

'Iron Man 3' director to make 'The Destroyer' film
Los Angeles, Aug 23 (IANS) Shane Black, who directed "Iron Man 3", will now go behind the camera for a movie adaptation of action book series "The Destroyer". He will direct the film, based on the 1970s adventure...
Read more on Celebrity Balla
 
170 illegal immigrants missing off Libyan coast
Tripoli, Aug 23 (IANS) A wooden boat carrying some 170 illegal immigrants was missing off the Libyan coast near Tripoli Friday, a coast guard official said. The stowaways were believed from sub-Saharan African...
Read more on Politics Balla
 
NATO chief condemns Russian aid convoy entry into Ukraine
Kiev, Aug 22 (IANS) NATO Secretary General Anders Fogh Rasmussen Friday condemned the entry of a Russian humanitarian convoy into Ukrainian territory without Kiev's consent and without involvement of the International...
Read more on Politics Balla
 
64 killed in Iraq mosque attack
Baghdad, Aug 23 (IANS) At least 64 people were killed Friday when suspected Shia militiamen attacked a Sunni mosque in Iraq's eastern province of Diyala, a media report said. A bomber blew himself up and other gunmen...
Read more on Politics Balla
 
UN to hold emergency meeting on Ukraine crisis
United Nations, Aug 23 (IANS) The UN Security Council is to hold emergency consultations amid media reports of a major escalation in the Ukraine conflict. The emergency session, scheduled for Friday evening, was...
Read more on Politics Balla
 
EU deplores Russia's humanitarian convoy into Ukraine
Brussels, Aug 23 (IANS) The European Union (EU) Friday deplored as illegal Russia's decision to send humanitarian consignment into Ukrainian territory without escort of the International Committee of the Red Cross (...
Read more on Politics Balla
 
US targets key financiers of Al Qaeda, Al Nusra Front
Washington, Aug 23 (IANS) The US Friday imposed sanctions on two alleged key financiers of al-Nusra Front and Al Qaeda, authorities said. Abdul Mohsen Abdullah Ibrahim Al-Sharikh and Hamid Hamad Hamid Al-Ali were...
Read more on Politics Balla
 
Irish man tests negative for Ebola virus
Dublin, Aug 22 (IANS) Laboratory test samples of an Irish man, who died after recently returning from Africa, have proved negative for Ebola virus, health authorities in Ireland said Friday. Ireland's Health Service...
Read more on Business Balla
 
Looking forward to working with Modi government: Singapore PM
Singapore, Aug 22 (IANS) Singapore Prime Minister Lee Hsien Loong Friday said his country hopes to work with India in areas of infrastructure and education, and expressed his desire to meet his Indian counterpart...
Read more on Politics Balla
 
India beat Middlesex by 95 runs
London, Aug 22 (IANS) India returned to winning ways albeit in a warm-up cricket match, registering a comfortable 95-run win over Middlesex at Lord's here Friday. India were dismantled 3-1 in the Test series,...
Read more on Sport Balla