Facebook, Inc. (NASDAQ:FB) shares fall over possible US antitrust move

Facebook, Inc. (NASDAQ:FB) shares fall over possible US antitrust move

Facebook, Inc. (NASDAQ:FB) shares fall over possible US antitrust move

Facebook’s stock dropped almost 3 per cent on Friday in regular trading after news reports suggested that the US FTC may take anti-trust action to prevent Facebook from integrating its disparate messaging apps.

The reports said the Federal Trade Commission(FTC) may seek a court injunction that would block Facebook’s “interoperability” plans for Facebook messenger, Whatsapp and Instagram, which involves revising them to use the same underlying software.

Facebook has been planning to integrate the app since early 2019. Federal regulators are concerned that Facebook’s plan could make it hard to break up the company should the FTC find that necessary.

An additional investigation had revealed that Facebook has been buying small app developers and IT firms that could pose a threat to the firm’s market share.

Facebook has been charged with taking higher stake in all those firms to kill competition not only in the United States but in other parts of the world as well. The company is facing similar charges in the European Union as well, meanwhile, Facebook has denied the charges.

Technical Indicators

Overall, the bias in prices is: Upwards.

The projected upper bound is: 205.71.

The projected lower bound is: 190.83.

The projected closing price is: 198.27.

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 28 white candles and 22 black candles for a net of 6 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 27.3084. This is not an overbought or oversold reading. The last signal was a sell 16 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 51.92. 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 108 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 -91. This is not a topping or bottoming area. The last signal was a buy 0 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 9 period(s) ago.

Rex Takasugi – TD Profile

FACEBOOK INC A closed up 3.810 at 197.920. Volume was 13% above average (neutral) and Bollinger Bands were 52% narrower than normal.

Open     High      Low     Close     Volume___
195.270 199.120 194.810 197.920 14,922,733
Technical Outlook 
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period     50-period     200-period
Close: 199.12 192.72 186.04
Volatility: 23 25 31
Volume: 13,054,533 13,398,316 15,490,892

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 6.4% 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 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 42 periods.

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