Support 1: 290.46 Resistance 1: 335.04
Netflix Inc has gone through a series of setbacks when it failed to break the resistance of 386.30 despite testing multiple times. It subsequently broke below the 2019 low of 335.02. However, to place a bearish view on Netflix is still early, in our opinion. Firstly, the stock has no significant high and low and it is still trending above the November 2018 low of 231.23. Secondly, the falling wedge formation may signal a short-lived bearish fall as the Thursday Hammer candlestick pattern manage to close above the 61.8% of the Fibonacci level.
The Relative Strength index has shown a strong bullish divergence as well. This is a clear sign of bullish momentum.
Red dotted line = 200 periods moving average
Blue dotted line = 50 periods moving average
Green dotted line = 22 periods moving average
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