Market Analysis

Blackberry: From smartphone to smart software

For a long time, nothing happened in banks and large corporations without the mobile companion Blackberry. Then the iPhone and Android came along and almost completely pushed Blackberry out of the picture. It became quiet for the former top dog. Of its more than 20 percent market share, nothing remains. Blackberry‘s market share is now almost zero percent.

It took a long time for Blackberry to realize what was wrong with its smartphone concept and the hardware in particular. Nevertheless, the company did not give up, but moved away from hardware manufacturing and focused on service and software solutions. This has opened up opportunities for Blackberry in the areas of healthcare, cybersecurity, self-propelled cars and the Internet of Things.

The transformation process took longer than some analysts had expected. Nevertheless, the company has been able to deliver increased revenues from quarter to quarter.

Next Wednesday Blackberry will present its figures for the first quarter of 2019.

From a chart technical point of view, the zone around US$8.42 could be crucial for further progress. If the market manages to push its way up from this zone, the first resistance could be at US$8.86. This would be the first time in more than a month that the market has been able to push its way up from this zone. If the market also skips this zone, then another structural region at US$9.40 could offer resistance to the market. If the market breaks upwards here as well, the path to the March/April high at US10.19 could be bright.

However, if the market drops, it could be supported by the US$7.97 zone. If this zone cannot stop the bears, the area at US$7.43 could also provide support. If the market falls through here as well, the picture could be utterly clouded if the further support zone at US$6.90 does not sustainably support the market.

The MACD oscillator showed a bullish cross on the June 10th, but this was not confirmed by a cross between the MACD line and the zero line. Currently, the histogram shows slight signs of weakening.

BB.US Daily Chart ActivTrader

BB.US Daily Chart | Source: ActivTrader


Written by Daniel Schuetz, External Analyst, ActivTrades

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