SIACharts Logo

Commentary >

Extreme Networks Inc. - (EXTR) - April 30, 2021 

Computer network equipment producer Extreme Networks (EXTR) continues to climb within the Green Favored Zone of the SIA S&P 600 SmallCap Index Report, as it rebounds from a brief drop into the yellow zone. Yesterday, the shares finished in 13th place, up 21 spots on the day and up 189 places in the last month.

Extreme Networks (EXTR) shares have staged a major breakout this week, climbing back above $10.00 (which now reverses polarity to become support) for the first time in three years. This move signals the start of a new upleg in a recovery trend that was first signaled by the snapping of a long-term downtrend line with a breakout over $6.00 back in November.

Potential upside resistance tests on trend appear near $13.00 and $14.00 based on measured moves from previous trading ranges, then the $15.00 to $15.50 range between a round number and the shares February 2018 peak.

Coming off of a large high pole breakout advance between November and February, Extreme Networks (EXTR) shares paused for two months with higher lows and lower highs forming a symmetrical consolidation triangle. Recently, the shares have come under renewed accumulation, breaking out to the upside from the triangle, completing a bullish Double Top pattern and confirming the start of a new upleg with a breakout over $10.00 followed by the completion of a bullish Spread Double Top pattern and a rally to the highest level since at least 2018.

Horizontal counts suggest next potential upside resistance may emerge between $14.40 and the $15.00 round number. Initial support appears near $10.90 based on a 3-box reversal.

With a perfect SMAX score of 10, EXTR is exhibiting near-term strength across the asset classes.

Disclaimer: SIACharts Inc. specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investors investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIACharts Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.

Related Posts

Keep up to date on the latest financial market news.

Receive a daily newsletter with stock highlights, ETF rankings, weekly market focus and others.