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Under Armour (UAA) (UA) stock is getting hammered on Monday, down 16% after the Baltimore sports-apparel company released its third-quarter results.

Not only did the results disappoint Wall Street, they came attached with an accounting probe disclosure. For many investors, just hearing that phrase makes the stock a sell, which isn't doing Under Armour shares any favors.

The decline is sending Under Armour stock to multimonth lows. Should it fail to hold those lows near $17.64, new 52-week lows could be on deck.

Earnings of 23 cents per share beat estimates by 4 cents, but revenue of $1.43 billion barely topped expectations and actually contracted 0.7% year-over-year.

Management's full-year revenue outlook was reduced to 2% growth, from 3% to 4%. Worse, though, are the dual accounting probes from the Department of Justice and Securities and Exchange Commission.

Given the news, it's no wonder Real Money selected Under Armour as its Stock of the Day

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The impact appears to be isolated to Under Armour stock, as Nike (NKE) shares are higher by about 1%. Let's take a closer look at the chart.

Trading Under Armour Stock

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Prior to Monday's post-earnings action in Under Armour, the daily chart was looking bullish. The stock was putting in a series of higher lows, as uptrend support (blue line) continued to guide the price higher. A static level of resistance near $21.50 continued to reject UAA stock rallies over the past few months.

This setup is known as an ascending triangle and is viewed as a bullish pattern as investors look for a breakout over resistance.

That pattern failed to play out on Monday, though, with the shares gapping below uptrend support and the 50-day moving average, as well as the 23.6% and 38.2% retracements.

Monday's low of $17.65 is a penny above the August low, Under Armour stock's lowest point since January. Should UAA stock trade below this mark, it could trigger even more selling and push the shares below $17. In that event, it puts the December lows at $16.52 on the table. Below that and new lows are in for Under Armour stock.

The poor reception to its earnings report and the news of multiple accounting probes are not exactly an inspiration to go long. Should the stock begin to rebound, though, see if UAA stock can reclaim the 23.6% retracement. Above that and the 50-day moving average is next.

This article is commentary by an independent contributor. At the time of publication, the author had no positions in the stocks mentioned.