Send me real-time posts from this site at my email
Fan Yang

Netflix (NFLX) Has the $200 Area in Sight for Support

In October, we expected another bearish swing in NFLX towards $270. By now we know that it has fallen even further, dragged down by overall market aversion. Now, we should probably look for NFLX to fall to $200 where we can expect some support.

Netflix (NFLX) Maintains Bearish Momentum

NFLX Daily Chart

(click to enlarge)

Bearish Correction:
- What we see on the daily chart is a deep correction against the 2018 rally. 
- In fact, we can expect the entire 2018 run up to be wiped out, if price does indeed pull back to $192 area. 
- I think this $190-$200 area will provide some support. 
- We should note that this is a conservative outlook relative to the extremely bearish environment we are in.
- The current price action is not about Netflix fundamentals.
- This is more about risk sentiment.
- And if the risk aversion we are seeing now eventually fades in 2019, NFLX should also find support. 
- Otherwise, expect some further downside towards the $175, where price would be back to the 200-week simple moving average (SMA). 

NFLX Weekly Chart

(click to enlarge)

Welcome! Is it your First time here?

What are you looking for? Select your points of interest to improve your first-time experience:

Apply & Continue