15/04/2022
The shares of Netflix Inc., an American entertainment company, correct at $340 per share.
On the daily chart of the asset, the formation of a global downtrend continues, which has passed into the stage of active slowdown. Despite the high potential for a reversal, the price is as close as possible to the annual low around 329.00.
The four-hour chart shows that the main barriers for further movement are the resistance line of the local downward channel around 388.00 and the initial correction of 23.6% Fibonacci around 415.00. Their breakout allows further growth of the instrument and achieving two targets: the 38.2% Fibonacci base retracement level at 468.00 and the Fibonacci 61.8% retracement level at 554.00.
However, technical indicators are currently in a state of uncertainty: indicator Alligator’s EMA fluctuations range is directed downwards, and the histogram of the AO oscillator is trading close to the transition level.
Trading tips
After the price rises and consolidates above the initial correction of 415.00, the main scenario is relevant, assuming the formation of long positions with the targets at the full correction of 554.00. Stop loss – 380.00. Implementation period: 7 days or more.
After the price drops and consolidates below the year’s low of 329.00, an alternative scenario is relevant, which involves the formation of short positions with the target at 270.00. Stop loss — 350.00.
Scenario
Timeframe Weekly
Recommendation BUY STOP
Entry Point 415.00
Take Profit 554.00
Stop Loss 380.00
Key Levels 329.00, 388.00, 415.00, 468.00, 554.00
Alternative scenario
Recommendation SELL STOP
Entry Point 329.00
Take Profit 270.00
Stop Loss 350.00
Key Levels 329.00, 388.00, 415.00, 468.00, 554.00
This analytical article is provided by Claws and Horns Analytics.
Get more Professional analytical reviews for free http://amp.gs/jlIMu
