Under Armour UNDER performing- Under Armour has fallen 3.3% in premarket trading because it's reported worse than expected quarter losses. Net losses totalled $559.7 million
- It's laid off workers and borrowed new money to try and sure up its balance sheet and lower its expense base.
- Overall its been under performing the S&P 500 and we are sitting at 2011 stock prices. From a trend perspective its been trending down in the pitchfork. Short positions can possibly be initiated at the Median line or the Supply Zone above.
Trade ideas
UA before EarningsUA likely to correct to 15 or lower post-ER.
– major formation bust since August last year, stock was not able to recover
– MACD bearish
– MAs super bearish (turned off in this chart)
– stock is now below 'Century VWAP' pre-ER (bearish)
– RSI super bearish
This post will be updated continuously when mentionable changes can be observed.
WEEKLY + ADX:
Under Armour inverse H&S at end of wave 2Under Armour seems to be finishing wave 2 and formed an inverse H&S with divergence on RSI. MPO of the pattern is just below $28 level. Break of the neckline and 200SMA would be a buy signal, best if confirmed with high volume.
This could be a great opportunity to enter before the main buyers come in. The count is valid as long as level $16 is not broken to the downside.
Overall the stock seems to be bullish, earnings will be reported on February 11th. Major hedge funds target the stock below $30.
Good Luck!
UA - Working on H&S?Under Armour has had its challenges the last few years with Adidas and Nike taking the top spots for active wear. Stock has made an incredible comeback over the last 4-5 weeks and is no pumping up against clear resistance. Looks to be working on a possible head and shoulders pattern but not sure. Could just bust through but I'd be patient here as RSi and MACD looking a little tired. Need a decisive break above where it is no to negate need for H&S
UA 03.12.19 LongAsset and Time frame -UA,1H
Entry Price -16.68
Exit(Stop Loss) -16.31
Exit(Take Profit) -17.65
The range between stop loss and entry - 0.37$
Technical Analysis -Hourly chart Fibonacci level made an ABC pattern and retested the 0.618 level,stop loss was placed under the 0.618 level and take profit placed at the 0.0 level.
What can be improved -
Conclusion & End of Trade -
$UAA The lid is of the can in Under Armour.The high 98 P/E ratio will finally matter to investors. A 98 P/E in a company with accountancy issues is a double red flag.
Shame on the company for parading their new CEO on CNBC and then opening this can of worms 1 week later.
We often look for good entries on oversold stocks but this one stock to avoid.
20% short interest and looks set to grow.
Company profile
Under Armour, Inc. engages in the development, marketing, and distribution of branded performance apparel, footwear, and accessories for men, women, and youth. It operates through the following segments: North America, EMEA, Asia-Pacific, Latin America, and Connected Fitness. The North America segment comprises of U.S. and Canada. The Connected Fitness segment offers digital fitness subscriptions, along with digital advertising through its MapMyFitness, MyFitnessPal, and Endomondo. applications. The company was founded by Kevin A. Plank in 1996 and is headquartered in Baltimore, MD.






















