Facebook, Inc. (NASDAQ:FB) Q1 revenue climbed 26%
Facebook’s Q1 revenue climbed 26% to reach $15.08 billion and top our $14.97 billion Zacks Consensus Estimate. At the bottom end of the income statement, FB’s earnings sunk from the year-ago period, driven by a one-time charge of $3 billion it set aside for the possibility of a Federal Trade Commission fine. Without the charge, the social media company’s adjusted earnings came in at $1.89 per share, which topped our $1.66 per share estimate.
Meanwhile, Facebook’s daily active user total popped 8% from the year-ago quarter to reach 1.56 billion, matching Wall Street estimates. The firm’s monthly active users jumped by the same 8% to close at 2.38 billion and beat expectations. More importantly, Facebook executives estimate that over 2.1 billion people use at least one of its “family” of services-which includes Facebook, Instagram, WhatsApp, and Messenger-every day on average. On top of that, Facebook’s family of platforms hit 2.7 monthly users.
The user total growth slowed slightly from Q4 2018’s 9% expansion. But when you are reaching roughly 35% of the world’s population every month the law of large numbers makes year over year growth harder to come by. With that said, shares of FB soared as high as around 9% in morning trading. The climb is part of much more impressive 2019 comeback for Facebook, which has seen it stock soar nearly 50% to crush FAANG peers such as Netflix NFLX , Amazon AMZN , and Apple AAPL.
Still, shares of Facebook rested roughly 12% below their 52-week high at $193 per share through morning trading, to possibly help give FB stock some more room to run.
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 171.65.
The projected upper bound is: 201.68.
The projected lower bound is: 185.97.
The projected closing price is: 193.82.
A big black candle occurred. This is bearish, as prices closed significantly lower than they opened. If the candle appears when prices are “high,” it may be the first sign of a top. If it occurs when prices are confronting an overhead resistance area (e.g., a moving average, trendline, or price resistance level), the long black candle adds credibility to the resistance. Similarly, if the candle appears as prices break below a support area, the long black candle confirms the failure of the support area.
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 25 white candles and 24 black candles for a net of 1 white candles.
A rising window occurred (where the top of the previous shadow is below the bottom of the current shadow). This usually implies a continuation of a bullish trend. There have been 7 rising windows in the last 50 candles–this makes the current rising window even more bullish.
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 77.0519. This is not an overbought or oversold reading. The last signal was a sell 0 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 79.66. This is where it usually tops. 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 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 318.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 10 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 buy 16 period(s) ago.
Rex Takasugi – TD Profile
FACEBOOK INC A closed up 10.680 at 193.260. Volume was 156% above average (trending) and Bollinger Bands were 4% wider than normal.
Open High Low Close Volume___
196.980 198.480 192.120 193.260 54,148,788
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 181.32 170.35 162.24
Volatility: 34 29 49
Volume: 18,886,342 17,230,518 24,257,790
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 gapped up today (bullish) on heavy volume. Possibility of a Breakaway Gap which usually signifies the beginning of a major market move. Four types of price gaps exist – Common, Breakaway, Runaway, and Exhaustion. Gaps acts as support/resistance.
FACEBOOK INC A is currently 19.1% above its 200-period moving average and is in an upward 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 moderate flows of volume into FB.O (mildly bullish). Our trend forecasting oscillators are currently bullish on FB.O and have had this outlook for the last 16 periods. Our momentum oscillator is currently indicating that FB.O is currently in an overbought condition.