Facebook, Inc. (NASDAQ:FB) made anywhere between $5 billion and $7 billion from Chinese advertisers

Facebook, Inc. (NASDAQ:FB) made anywhere between $5 billion and $7 billion from Chinese advertisers

Facebook, Inc. (NASDAQ:FB) made anywhere between $5 billion and $7 billion from Chinese advertisers

In what can only be further evidence of the global reach of Facebook, reports show that the social media platform earned $5 billion in revenue from China. Yet Facebook has been prohibited in China since 2009.

FACEBOOK’S FIFTH LARGEST MARKET, SURPRISINGLY, IS CHINA

According to reporting by TheStreet and a research note from Pivotal, it’s estimated that Facebook made anywhere between $5 billion and $7 billion from Chinese advertisers. This figure is about 10% of Facebook’s 2018 revenue.

Facebook’s 2018 filing confirms that revenue came from resellers “representing advertisers” based in China. Facebook apparently has an unofficial Chinese office, through its links with a Chinese company called Meet Social. Meet Social, as per other reporting, places 20,000 adverts per day on Facebook via its software platform.

The social media company, with an almost monopoly on our online friendships, has its largest market in the US. Its second largest market is Russia, followed by Turkey and Canada.

There has been speculation that Russia could also ban Facebook in the country for not complying with data regulation laws. In Russia, online service providers and platforms must only store the data of Russian citizens on Russian soil. Russian regulators have yet to be convinced that Facebook is complying, or that it will. Twitter too is under scrutiny in Russia.

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

By the way, prices are vulnerable to a correction towards 152.65.

The projected upper bound is: 180.35.

The projected lower bound is: 155.54.

The projected closing price is: 167.95.

Candlesticks

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 30 white candles and 20 black candles for a net of 10 white candles.

Momentum Indicators

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.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 50.2449. This is not an overbought or oversold reading. The last signal was a sell 1 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 66.83. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 1 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 55. This is not a topping or bottoming area. The last signal was a sell 1 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 6 period(s) ago.

Rex Takasugi – TD Profile

FACEBOOK INC A closed up 0.950 at 167.330. Volume was 52% below average (consolidating) and Bollinger Bands were 91% wider than normal.

Open High Low Close Volume___
164.470 167.370 164.210 167.330 12,561,422

Technical Outlook
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 161.91 144.43 167.00
Volatility: 69 55 50
Volume: 27,174,742 26,073,540 25,017,796

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.

Summary

FACEBOOK INC A is currently 0.2% above its 200-period moving average and is in an upward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of FB.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on FB.O and have had this outlook for the last 23 periods.

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