Ambarella Bolts To New All Time High After Q1 Beat And Retreats

em>Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.

Ambarella AMBA share are trading higher by $4 at $96.21 in Wednesday's session. The catalyst for the strong rally is a Q1 beat for EPS ($0.71 vs. Est. $0.59) and for revenue ($71M vs. Est. $67.36). The solid beat has instigated a rally to a new all time high in the issue ($99.08_ surpassing the old high that was made on Tuesday ($95.67) by a wide margin. The components maker for Go-Pro cameras has over double since ending 2014 at $46.33. After a much higher open ($95.16 vs, Tuesday's close of $92.21), it retreated to $94.30 before embarking on a rally to nearly the century level. Since making its high, it has retreated to and is attempting to find support at the $96 level. Today's price action is taking place on much higher than average volume. So far, 5.3M shares have changed hands compared with its 20 day average of 2M with over two hours remaining in the session.