Facebook (NASDAQ:FB) To Expect Market Volatility in Q4

Facebook (NASDAQ:FB) To Expect Market Volatility in Q4

$FB #Facebook #SocialMedia #USA #Nasdaq #Stocks #Trading #Markets

Facebook
Ticker: NASDAQ:FB
Price: $266.63

Facebook Outlook

The market is once again in a confirmed uptrend, but the stock market forecast is anything but clear.

Investors riding the historic stock market rally from the coronavirus crash bottom on March 23 to record highs in early September pushed a few concerns to the background. The unraveling U.S.-China trade detente. Looming antitrust action against FANG stock stalwarts Alphabet (GOOGL) and Facebook (FB). A possible fall coronavirus wave. A lapse in fiscal stimulus. A potential Democratic sweep in Election 2020 that promises big tax hikes for corporate profits and investment gains. A drawn-out vote-counting process that jolts stocks like the 2000 hanging-chad election.

Now, all those worries may come to the fore in a matter of weeks. Expect more stock market turbulence.

“Uncertainty has rarely been higher for financial markets,” Morgan Stanley chief U.S. equity strategist Michael Wilson wrote this week. He sees the S&P 500 and Nasdaq 100 at risk of falling to their 200-day moving averages before the next stage of the bull market resumes.

Business Summary

Facebook, Inc. is focused on building products that enable people to connect and share through mobile devices, personal computers and other surfaces.

The Company’s products include Facebook, Instagram, Messenger, WhatsApp and Oculus.

Facebook enables people to connect, share, discover and communicate with each other on mobile devices and personal computers.

Instagram enables people to take photos or videos, customize them with filter effects, and share them with friends and followers in a photo feed or send them directly to friends.

Messenger allows communicating with people and businesses alike across a range of platforms and devices.

WhatsApp Messenger is a messaging application that is used by people around the world and is available on a range of mobile platforms.

Its Oculus virtual reality technology and content platform offers products that allow people to enter an interactive environment to play games, consume content and connect with others.

Price Performance

Relative Valuation

Technical Indicators

Overall, the bias in prices is: Upwards.

The projected upper bound is: 288.03.

The projected lower bound is: 246.30.

The projected closing price is: 267.17.

Candlesticks

A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 22 white candles and 28 black candles for a net of 6 black 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 87.6034. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 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 52.94. 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 19 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 81. This is not a topping or bottoming area. The last signal was a buy 6 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 1 period(s) ago.

Rex Takasugi – TD Profile

FACEBOOK INC A closed up 4.730 at 266.630. Volume was 20% below average (neutral) and Bollinger Bands were 9% wider than normal.

Open     High      Low       Close       Volume
265.350  268.330   264.800   266.630     20,009,800
Technical Outlook
Short Term:        Neutral
Intermediate Term: Bearish
Long Term:         Bullish
Moving Averages: 10-period      50-period       200-period
Close:           255.59         263.14          220.57
Volatility:      31             49              57
Volume:          22,032,668     24,963,360      23,308,898

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 20.9% above its 200-period moving average and is in an downward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future.

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 12 periods. Our momentum oscillator has set a new 14-period high while the security price has not. This is a bullish divergence.

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