Netflix (NFLX) stock has been experiencing volatility as its price rebounds near a key support level, leading analysts to maintain a buy rating. The stock recently faced rejection near the $450 mark, resulting in a pullback towards the support level near the 100-day Exponential Moving Average (EMA). Technical analysis shows that NFLX stock has formed a rising wedge pattern, indicating potential volatility in the charts.
Despite this recent pullback, NFLX stock has been performing strongly, with an over 80% surge in the past six months. The stock has shown a major upward move since the start of 2023, indicating buyer accumulation. However, the price is currently near a supply range, which has acted as a barrier and led to a fake breakout and retracement in the last session. Nevertheless, the stock is in a buying zone, and a bounce is expected in the upcoming sessions.
At the time of writing, NFLX stock is trading at $427.78 with a 1.45% intraday gain. A bullish engulfing candlestick near the lower trendline suggests that the stock is ready for a rebound. The trading volume remains at 4.00 Million, and the market cap is $189.569 Billion. Analysts have maintained a buy rating for NFLX stock, with a yearly target price of $456.90, indicating a positive growth outlook for the future.
Netflix, Inc. is an entertainment services company that offers paid memberships in over 190 countries. It provides a wide range of TV series, films, and games in various genres and languages. Netflix members have the flexibility to watch content anytime, anywhere, and can change their plans as per their preferences. The company offers different streaming membership plans with varying prices based on the country and plan features. Members can access streaming content through various Internet-connected devices.
The daily charts for NFLX stock show that it revisited the supply zone of $450 but failed to surpass it and subsequently lost its gains. According to Fibonacci levels, the stock is trading in bull territory, although it slipped toward the lower Bollinger Band. The Relative Strength Index (RSI) curve exhibited a negative divergence and moved towards the oversold region. However, the overall trend remains strong, and the stock may rebound towards the $450 mark.
On the other hand, the Moving Average Convergence Divergence (MACD) indicator showed a bearish crossover and formed red bars on the histogram, indicating profit booking in the last few sessions.
It is important to note that the views and opinions expressed in this article are for informational purposes only and do not constitute financial, investment, or other advice. Investing in or trading crypto assets always carries the risk of financial loss.
In summary, Netflix (NFLX) stock has been experiencing volatility as its price rebounds near a key support level. Technical analysis suggests potential volatility on the charts due to the formation of a rising wedge pattern. Despite a recent pullback, the stock has been performing strongly, with a significant surge in the past six months. Analysts maintain a buy rating for NFLX stock, indicating a positive growth outlook. The stock is currently in a buying zone, and a rebound is expected in the upcoming sessions. However, investors should always exercise caution and consider the risks involved in investing in or trading crypto assets.
