$NASDAQ:NFLX. After pulling back from the $1350 area, Netflix stock is testing the lower Bollinger Band (BB 20/2σ), a level that previously acted as support.
At the same time, the Stochastic Oscillator (14,1,3) is in oversold territory and starting to curl upward, suggesting a potential bullish reversal.
Trade Setup:
• Entry: $1216 (current price)
• Target: $1283–$1300
• Stop Loss: $1194 (below BB lower band)
• Risk/Reward Ratio: 1:3+
Supporting Factors:
• Technical bounce from the lower Bollinger Band
• Price approaching SMA 9 (~$1250), potential breakout level
• Fundamental catalyst: Analysts at Baird and CICC raised their price targets to $1500 and $1350 respectively. Ad revenue is projected to quadruple by the end of 2025 due to stronger content engagement.
Risks:
• Q2 report met expectations, but weak forward guidance hurt sentiment
• A break below $1190 could lead to further downside pressure
At the same time, the Stochastic Oscillator (14,1,3) is in oversold territory and starting to curl upward, suggesting a potential bullish reversal.
Trade Setup:
• Entry: $1216 (current price)
• Target: $1283–$1300
• Stop Loss: $1194 (below BB lower band)
• Risk/Reward Ratio: 1:3+
Supporting Factors:
• Technical bounce from the lower Bollinger Band
• Price approaching SMA 9 (~$1250), potential breakout level
• Fundamental catalyst: Analysts at Baird and CICC raised their price targets to $1500 and $1350 respectively. Ad revenue is projected to quadruple by the end of 2025 due to stronger content engagement.
Risks:
• Q2 report met expectations, but weak forward guidance hurt sentiment
• A break below $1190 could lead to further downside pressure
Trade closed: stop reached
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.