Netflix stock price overbought and vulnerable to a pull back.
July 21, 2023 2:25 pm
Blue lines- Fibonacci retracement levels
NFLX stock price is trading around $437-$438 after making a higher high earlier this week around $483. The weekly candle is very worrying for bulls as there are increased chances that it will end the week in a negative territory and form a bearish reversal candlestick pattern. The RSI is at overbought levels for the last few weeks, something that increases the chances of a pull back. Price has also almost touched the major Fibonacci resistance level of 61.8% and is turning lower. So far we have no bearish reversal signal, only indications and signs of weakness. The most probable scenario is that NFLX stock price has formed at least a short-term top and we should see a couple of weeks with price under pressure moving lower towards $370-$380.
The material has been provided by InstaForex Company – www.instaforex.com
Blue lines- Fibonacci retracement levels
NFLX stock price is trading around $437-$438 after making a higher high earlier this week around $483. The weekly candle is very worrying for bulls as there are increased chances that it will end the week in a negative territory and form a bearish reversal candlestick pattern. The RSI is at overbought levels for the last few weeks, something that increases the chances of a pull back. Price has also almost touched the major Fibonacci resistance level of 61.8% and is turning lower. So far we have no bearish reversal signal, only indications and signs of weakness. The most probable scenario is that NFLX stock price has formed at least a short-term top and we should see a couple of weeks with price under pressure moving lower towards $370-$380.
The material has been provided by InstaForex Company – www.instaforex.com
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