#NFLX bullishDespite NASDAQ:NFLX beating its earnings across the board, its stock came across some bearish moment. Here I believe we might see a reversal in trend, as noticeable a divergence signal from MACD & RSI both. Also, Considering today’s price action, a jump of almost 1.5% intraday from its 200 MA, we might continue to be bullish and breakout from the triangle as well.
NFLX
WILL NFLX COVER THE GAP ?What Is a Gap?
A gap is an area discontinuity in a security's chart where its price either rises or falls from the previous day’s close with no trading occurring in between. Gaps are common when news causes market fundamentals to change during hours when markets are typically closed, for instance an earnings call after-hours.
NFLX This rising wedge is at tight as it gets! 👀 Get your popcorn ready 🍿 📽️
Perf YTD 🔴 -61.84%
Perf Quarter 🟢 +2.70%
Perf Month 🟢 +24.91%
Perf Week 🟢 +1.72%
Is Netflix headed towards 120?This analysis is on Netlifx ($NFLX) which made a ATH of around 700 and now is present trading at 190 levels. Everything happened so fast, in a matter of just under a month of trading, that many investors lost big money. So what was the crucial level? And where were the supports? Why didnt the support work? Did Earnings alone spoil everything? Markets discount everything and charts have a way of telling the same because they represent unbaised price action. According to my analysis, 540 was a crucial level. A day closing below this triggered a major sell off. The next support was at 340 levels according to Fibonnaci retracement at 61.8%. But it didnt hold. So the next level is around 120!
Over Selling to be followed up with a Bounce backNetflix opened up with a huge gap down after its announcement of weak numbers in Q4. Gap should be filled sooner or later.
Same level would act as a major resistance for upcoming times.
Stock is trading below 200 Days EMA
Disclaimer: View for Educational purpose only, not to be taken as trading/investment advice.
NFLX Divergence Continues... Dec 2018 Lows in FocusNFLX shares have been reacting to a growing realizing on the Street that Netflix is not Apple or Google or Amazon or Facebook. It has a ton of very close competition, biting at its heels, growing stronger, running faster. The multiple here is shrinking, and that process still has legs.
With Q3 earnings on the way, look for another quarter where the stock does not get the benefit of the doubt.
NFLX updateAs of writing this, NFLX is down 14% at 343 dollars a share on disappointing revenue and subscriber growth, and weak subscriber growth estimates into Q3.
This decline in price puts our 400 dollar put position 57 dollars in the money which will more than offset the loss on the call position.
Further more the options bought expired 7/20 since we planned on selling them at market open. The cheap short expiration options allowed to limit the loss taken on either direction.
NFLX tendency for large dollar moves after hours makes it a great candidate for straddles as it allows the winning position to outweigh the loosing position and be sold for an immediate profit
NFLX 100 ma is at 338, a vital level to watch for a test and point of reversal.
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