NET - Is it Worth Risking for 130% Upside?Do you believe in Cloudflare enough, the company which is still not profitable, to invest at this stage?
Fundamentally: although revenue grows exponentially the company is not making any profits, there is not much else to add and a lot will depend on the upcoming earnings report
Technically:
It is very tricky to analyse Cloudflare as it is a relatively young company and at its infancy development stage hence there is not much to assess on the graph
The proposed scenario, which is one of many, may look plausible if to consider that cyber security industry is crucial more than ever these days
One may count an impulse in the wave formed from March to November 2021. However, this scenario is based on the premise that this move was part of a Running Flat correction which completed in January 2022
Since then there were two impulse like movements that can be interpreted as zig-zag of the first impulse in the developing Ending Diagonal
Is it possible that this scenario may play out? Let's see the report and will revisit this thought.
However, at the moment it might be risky to go either way.
What do you think about this idea?
Please share your thoughts in the comments and like this idea if you would like to see more stocks analysed using Elliott Waves.
Thanks
