Stock of the day: Equinix

This Thursday we’d like to show you Equinix’s chart. Equinix is a global leader in Data Centers, and even though this is the first time we mention this instrument in our “Stock of the Day” series, we’ve spoken about Equinix before in our Coffee & CFD Talks video on August 24th. Back on that day, Equinix was climbing higher and in the video description we said “Equinix escapes from the symmetric triangle to the upside”.

That was a buy signal and true-to-form, the price did climb higher. It didn’t happen straight away though. Traders had to have some patience but eventually, we got there.

The reason we’re mentioning Equinix again is the fact that we have another breakout from the triangle. This time, it’s not asymmetric but an ascending one. An ascending triangle has dynamic support (red line) and horizontal resistance (yellow, around 843 USD) and is a bullish formation. Bullish means that it promotes the breakout to the upside and this breakout is what this whole story is about.

Yesterday, buyers attacked the horizontal resistance and broke it without any problems. The price surged and closed on all-time highs. They say that there’s no safer place than all-time highs, so the buy signal is on. Positive sentiment stays, as long as the price stays above the yellow support.