Here is a link where you can follow the technical basis for a topping pattern that has been in formation for the last month in NFLX:
Nice day here. Back in the game although with not as many shares as I wish I had as we sold off some shares on breach of top. I can always add though as another attempt at a breakout this time actually went higher and failed.
Its interesting to watch all of the confused analysts up here.
The fear is in.
Not a chance...the Netflix product itself is extremely cheap, and a lot more in demand than Sirius. Also, they've gone this far so I'm pretty sure they have the ability to get creative if they need to in order to stay ahead of the curve. Today's trading volume across the exchanges was also anemic. If institutions step in tomorrow and start buying there is going to be a massive short squeeze.
The biggest problem, as I see it , is luring new buyers at this level in the face of having to water down the shares in the future to pay for their costs. I am interested in seeing if the CEO has outlined a plan. Acquisition or merger maybe? They better have some trick up their sleeve or face being another Sirius satellite radio.
We are placing our stop at the 250-251 level. You can either pick a point stop or a percent just above the high. Some like to match the exact high (or exact low in a reversal)Either way, the stop should not be too far away from the highest point (or lowest in a reversal). Remember to stick to your stop if it hits and decide where it is ahead of time.
You can always jump back in if you need to.
Good morning everyone.
We are sold our short term calls here with the price reaching 248.
Remember , the stop for our core short position is at a sustained move above the monthly high. So we'll cover if we get there.
Nothing to do now but see how it plays out.
As always, best of luck to all$$$
So after the first hour we have a high of 243.90 and low of 239.41. Nice tight range.
Sell orders heavy at 245 for some reason. Price consolidating at the iupper range now so buyers would have to break through the high of the day and then get thru the sell orders. We still own 1/2 our short term calls but we'll sell them if we breach the low of the day and resume our short position strategy.