Facebook, Inc. (NASDAQ:FB) says in the risk factors section of its latest quarterly report that it can’t guarantee Libra “will be made available in a timely manner, or at all

Facebook, Inc. (NASDAQ:FB) says in the risk factors section of its latest quarterly report that it can’t guarantee Libra “will be made available in a timely manner, or at all

Facebook, Inc. (NASDAQ:FB) says in the risk factors section of its latest quarterly report that it can’t guarantee Libra “will be made available in a timely manner, or at all

Facebook reminded investors in its latest quarterly report that while it expects to launch its Libra digital currency in 2020, a number of factors could keep that from happening.

In the risk factors section of the report, Facebook said it recognizes the significance of the pushback that’s come from lawmakers and regulators since the project was announced in June.

“Libra has drawn significant scrutiny from governments and regulators in multiple jurisdictions and we expect that scrutiny to continue,” Facebook said in its filing with the Securities and Exchange Commission.

In addition, market acceptance of such currency is subject to significant uncertainty. As such, there can be no assurance that Libra or our associated products and services will be made available in a timely manner, or at all. We do not have significant prior experience with digital currency or blockchain technology, which may adversely affect our ability to successfully develop and market these products and services.

David Marcus, who is spearheading the development of Libra and the Calibra digital wallet project at Facebook, has said the currency will be “a more efficient, low-cost and secure alternative” payment tool for people who can’t afford to transfer money using traditional methods.

Since disclosing plans for Libra and Calibra last month, the company has faced criticism from public officials in the U.S. and abroad.

Earlier this month, Marcus testified before the U.S. Senate Banking Committee and the House Financial Services Committee and was grilled by lawmakers during both sessions.

U.S. Treasury Secretary Steven Mnuchin and Federal Reserve Chairman Jerome Powell have also voiced their concerns with Libra, and similar reservations have been raised by French Finance Minister Bruno Le Maire and European Central Bank Executive Board Member Benoit Coeure.

Facebook CEO Mark Zuckerberg made similar comments on a call with analysts on Wednesday. A few years ago, the company “would have probably just showed up and tried to release a product on our own,” he said.

“Now the approach on all of these fronts is to outline the ideas and the values that we think an eventual service should have, leave open a period of however long it takes to address regulators and different experts and constituents’ questions about this and then figure out what the best way to move forward is,” Zuckerberg said.

Overall, the bias in prices is: Upwards.

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

The projected upper bound is: 206.07.

The projected lower bound is: 186.17.

The projected closing price is: 196.12.

Candlesticks

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

Three black candles occurred in the last three days. Although these candles were not big enough to create three black crows, the steady downward pattern is bearish.

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 20.5052. This is not an overbought or oversold reading. The last signal was a sell 8 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 48.52. 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 10 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 -222.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 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 6 period(s) ago.

Rex Takasugi – TD Profile

FACEBOOK INC A closed down -3.810 at 195.940. Volume was 2% below average (neutral) and Bollinger Bands were 42% narrower than normal.

Open     High      Low     Close     Volume___
199.000 199.630 195.300 195.940 16,530,801
Technical Outlook 
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period     50-period     200-period
Close: 201.05 189.05 166.11
Volatility: 23 35 42
Volume: 18,983,114 17,231,466 20,787,192

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 18.0% above its 200-period moving average and is in an upward trend. Volatility is 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 26 periods.

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