Today, we will take a look at NFLX after a massive gap.
Where is the price right now?
Is making contact with a weekly trendline that started in 2017; therefore, we have to consider this level a relevant zone to think in potential bouncing or breakout movements.
Bullish Scenario:
The price is able to bounce on the weekly ascending trendline and makes a breakout of the descending trendline of the current bearish movement. IF that happens, waiting for a correction after the breakout using previous scenarios as models to understand the size and duration of it is always a good idea. So, I have defined what I think the correction should look like. A new local high would be a confirmation of the bullish movement towards the next resistance zone.
Bearish Scenario:
The price is not able to bounce on the weekly trendline, and we observe a breakout. Waiting for a correction after the breakout of a relevant level using previous scenarios as models to understand the size and duration of it is always a good idea. So I have defined what I think the correction on the bearish movement should look like. A new local low after that would be a confirmation of the bearish movement towards the next support zone.
At the moment, my stand on NFLX is waiting and observing possible resolutions before taking action. Thanks for reading.
Where is the price right now?
Is making contact with a weekly trendline that started in 2017; therefore, we have to consider this level a relevant zone to think in potential bouncing or breakout movements.
Bullish Scenario:
The price is able to bounce on the weekly ascending trendline and makes a breakout of the descending trendline of the current bearish movement. IF that happens, waiting for a correction after the breakout using previous scenarios as models to understand the size and duration of it is always a good idea. So, I have defined what I think the correction should look like. A new local high would be a confirmation of the bullish movement towards the next resistance zone.
Bearish Scenario:
The price is not able to bounce on the weekly trendline, and we observe a breakout. Waiting for a correction after the breakout of a relevant level using previous scenarios as models to understand the size and duration of it is always a good idea. So I have defined what I think the correction on the bearish movement should look like. A new local low after that would be a confirmation of the bearish movement towards the next support zone.
At the moment, my stand on NFLX is waiting and observing possible resolutions before taking action. Thanks for reading.