Facebook, Inc. (NASDAQ:FB) may come under renewed pressure

Facebook, Inc. (NASDAQ:FB) may come under renewed pressure

Facebook, Inc. (NASDAQ:FB) may come under renewed pressure

Shares of social media giant Facebook (NASDAQ:FB) may come under renewed pressure next week after governments in the Asia-Pacific region announced they plan to accelerate their crackdown on practices that “weaponize” social media platforms.

Yesterday, Australia said it will legislate “tough” new laws to prevent social-media platforms from being co-opted by terrorists and extremists who may use them to live-stream violent crimes, such as this month’s terror attack in New Zealand. Singapore said it will introduce a law to halt the spread of “fake news,” Bloomberg News reported.

These actions follow the massacre in a New Zealand mosque earlier this month that again exposed the weakness of Facebook’s platform. The killer was able to live stream the shootings through his Facebook account.

New legislation in Australia may penalize social media companies with penalties of up 10% of a company’s annual turnover and potential prison sentences for executives. Singapore said its new laws will give more power to the government to hold online outlets accountable if they’re found to be deliberately delivering false news.

Until March 13, Facebook shares had surged, rallying 30% this year, following their steep losses in 2018 on concerns that various governments will soon introduce legislation to stop the spreading of misinformation and hate speech through social media. The company is under investigation by various U.S. agencies as well. Its shares closed at $166.69 on Friday.

Overall, the bias in prices is: Upwards.

The projected upper bound is: 177.08.

The projected lower bound is: 157.07.

The projected closing price is: 167.07.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 27 white candles and 23 black candles for a net of 4 white candles.

A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.

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 54.1835. This is not an overbought or oversold reading. The last signal was a buy 7 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 52.77. 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 35 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 -5. This is not a topping or bottoming area. The last signal was a buy 8 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 sell 10 period(s) ago.

Rex Takasugi – TD Profile

FACEBOOK INC A closed up 1.140 at 166.690. Volume was 41% below average (neutral) and Bollinger Bands were 41% narrower than normal.

Open High Low Close Volume___
166.390 167.190 164.810 166.690 13,455,454

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 165.00 162.82 164.00
Volatility: 29 40 49
Volume: 17,879,340 19,558,094 24,369,266

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 1.6% above its 200-period moving average and is in an downward trend. Volatility is relatively normal 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 bearish on FB.O and have had this outlook for the last 8 periods.

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