Netflix, Inc. (NASDAQ:NFLX) stock surges above $400 in falling market
Analysts continue to raise price targets for Netflix despite looming streaming challenges from Disney and others.
Netflix Inc. shares rose almost 4% Tuesday in a falling market as three analysts moved to raise their stock price targets and played down the competitive threat to the streaming giant from rivals.
The stock ended the session up 3.7% at a record $404.98, closing above the $400 level for the first time. It was up 1.3% in premarket trade Wednesday.
Analysts remain bullish on Netflix despite looming streaming challenges from Walt Disney Co. and other media giants.
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 346.42.
The projected upper bound is: 427.27.
The projected lower bound is: 387.29.
The projected closing price is: 407.28.
A big white candle occurred. This is generally considered bullish, as prices closed significantly higher than they opened. If the candle appears when prices are “low,” it may be the first sign of a bottom. If it occurs when prices are rebounding off of a support area (e.g., a moving average, trendline, or retracement level), the long white candle adds credibility to the support. Similarly, if the candle appears during a breakout above a resistance area, the long white candle adds credibility to the breakout.
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 28 white candles and 22 black candles for a net of 6 white candles.
Three white candles occurred in the last three days. Although these candles were not big enough to create three white soldiers, the steady upward pattern is 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 86.5075. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 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 82.97. 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 8 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 143.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 8 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 4 period(s) ago.
Rex Takasugi – TD Profile
NETFLIX INC closed up 14.580 at 404.980. Volume was 99% below average (consolidating) and Bollinger Bands were 28% wider than normal.
Open High Low Close Volume___
389.500 405.290 388.500 404.980 91,050
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 377.49 337.75 254.91
Volatility: 37 38 43
Volume: 8,326,460 8,791,287 8,715,697
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.
NETFLIX INC is currently 58.9% 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 very strong flows of volume into NFLX.O (bullish). Our trend forecasting oscillators are currently bullish on NFLX.O and have had this outlook for the last 34 periods. Our momentum oscillator is currently indicating that NFLX.O is currently in an overbought condition.
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