Technical Analysis – Meta stock falls below 50-SMA ahead of earnings
April 23, 2024 3:27 pm
Meta stock pulls back from its all-time high
Violates the 50-day SMA ahead of Q1 earnings call
Momentum indicators turn negative
Meta’s (Facebook) stock has been in a steep uptrend since the beginning of the year, posting a fresh all-time high of 531.00 on April 8. However, the pair has come under selling pressure following its recent record peak, with the bears pushing the price below the 50-day simple moving average (SMA) ahead of its Q1 earnings.
If the earnings report on Wednesday surprises to the upside, the stock could reclaim the 50-day SMA and charge towards the March-April resistance of 512.00. A violation of that region could open the door for the all-time high of 531.00. Surpassing that hurdle, the price could enter uncharted waters, where the 550.00 psychological mark could curb further upside attempts.
Alternatively, bearish pressures could send the price to initially test the recent support of 473.00. Breaking below that wall, the shares could retreat towards 454.00, which is the upper end of a positive price gap registered in February. Slicing beneath that floor, the price may attempt to fill the gap and test the 406.00 barricade.
In brief, despite the latest correction, Meta’s stock is trading near its 2023 highs ahead of the Q1 earnings call. Can the report trigger some volatility?
Meta stock pulls back from its all-time high
Violates the 50-day SMA ahead of Q1 earnings call
Momentum indicators turn negative
Meta’s (Facebook) stock has been in a steep uptrend since the beginning of the year, posting a fresh all-time high of 531.00 on April 8. However, the pair has come under selling pressure following its recent record peak, with the bears pushing the price below the 50-day simple moving average (SMA) ahead of its Q1 earnings.
If the earnings report on Wednesday surprises to the upside, the stock could reclaim the 50-day SMA and charge towards the March-April resistance of 512.00. A violation of that region could open the door for the all-time high of 531.00. Surpassing that hurdle, the price could enter uncharted waters, where the 550.00 psychological mark could curb further upside attempts.
Alternatively, bearish pressures could send the price to initially test the recent support of 473.00. Breaking below that wall, the shares could retreat towards 454.00, which is the upper end of a positive price gap registered in February. Slicing beneath that floor, the price may attempt to fill the gap and test the 406.00 barricade.
In brief, despite the latest correction, Meta’s stock is trading near its 2023 highs ahead of the Q1 earnings call. Can the report trigger some volatility?
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