Post Earnings, Here's How I'm Playing Ambarella
InTheMoneyStocks.com | Jun 05, 2019 03:00PM ET
Video compression and image processing materials provider Ambarella (NASDAQ:AMBA) reported earnings Tuesday night and Wall Street seemed to like what it heard. Unfortunately, the stock has reversed its early pre-market gains and mid-day Wednesday, it was flat on the session, trading at $39.75 a share. Traders should note that the stock has been weak since May 22, 2019 when news broke that the company could be adversely affected by tariffs and possible blacklisting with one of its largest customers.h3 Wait And See/h3
At this point, the stock looks poised to ultimately trade much lower on the charts. I will be waiting a few days to see how this pattern plays out before buying put options on the stock. The next major support level for AMBA will be around $31.
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