Facebook, Inc. (NASDAQ:FB) $120 billion in market value has been wiped away
Facebook (NASDAQ:FB) stock was pummeled last week, falling about 19% after the company reported its second-quarter results. Lower-than-expected revenue and management’s forecast for a rapid deceleration in its year-over-year top-line growth for the remainder of the year sent shares sharply downward.
That’s unprecedented, and all caused by a slower-than-anticipated rate of growth. Twitter’s $6 bn drop? It posted its first-ever decline in user numbers following a purge of upwards of seventy million fraudulent accounts.
While it’s been a long time coming, in both cases it’s the direct end result of trying to have it both ways: serving shareholders and users alike. You can’t walk that tightrope forever.
Overall, the bias in prices is: Downwards.
Note: this chart shows extraordinary price action to the downside.
The projected upper bound is: 191.46.
The projected lower bound is: 153.29.
The projected closing price is: 172.38.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 31 white candles and 19 black candles for a net of 12 white candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 8.2877. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a sell 3 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 29.51. This is where it usually bottoms. The RSI usually forms tops and bottoms before the underlying security. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 3 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -124.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 3 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 3 period(s) ago.
Rex Takasugi – TD Profile
FACEBOOK INC A closed up 1.520 at 172.580. Volume was 41% above average (neutral) and Bollinger Bands were 129% wider than normal.
Open High Low Close Volume___
170.670 174.240 170.000 172.580 40,356,472
Short Term: Oversold
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 196.53 195.82 181.56
Volatility: 123 62 44
Volume: 48,823,472 23,343,194 25,390,464
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
FACEBOOK INC A is currently 4.9% below its 200-period moving average and is in an downward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term. Our volume indicators reflect volume flowing into and out of FB.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on FB.O and have had this outlook for the last 2 periods. Our momentum oscillator is currently indicating that FB.O is currently in an oversold condition.
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