Facebook is walking a "fine line" and is at risk for a reasonable "pull-back" (up to 10%) as it appears to be in distribution. So far the bullish upswings have been unable to regain ground within the ascending channel and therefore are confirming prior support as resistance.
I don't usually read much from daily patterns. This one is just for fun. It is going to break the lower bound of the sliding channel any time soon. But before that, it can temporarily go up a little bit.
This figure jumped out at me this morning when I looked at the weekly log chart. I don't have any particular biais or analysis on this stock, but the chart should speak to some of you.
Recently the trading range has narrowed between (700,750) with some resistance from 750 (or P pivot). Since then EMA50 has been nearly flat slope; hence sideways. Also, the difference of EMA50 and EMA200 has been decreasing with EMA50's slope marginally bearish.
If bearish momentum continues, a support retest of 700 is in range. Should 700 fail and OBV fails...
Traders have seen this before, and it continues to play out as the global economic climate breaks down. Although these pullbacks in the SPX are often lofty and swift, it is important to realize volume is the most import factor when considering the validity of a pullback.
Here , we can see that the move in SPY is volumeless. The entire squeeze from the Feb. 11...
AAPL and AMZN just set this up perfect for GOOGL to beat on earnings and pump the market bigtime. AAPL is super cheap in the 90's and AMZN continues to get pumped. I would expect the big guys to buy this up. Positive divergence for MACD versus NAS100. Super Long.
Ryan
