Is the trend still our friend on these charts?
Check out these nearby correction levels on USD/CHF and Netflix (NFLX) shares!
This pair has been edging lower inside a descending channel that’s been holding since December. Another trend correction seems to be shaping up, as price is bouncing off support again.
Are sellers about to return soon?Technical indicators are looking mixed, as the 100 SMA is below the 200 SMA to reflect bearish vibes while Stochastic is pulling higher.
This means that the pullback could keep going until the oscillator reaches the overbought region to signal exhaustion among buyers.
The Fib retracement tool shows the nearby resistance levels where sellers might be waiting to hop in. Right now, I’m looking at the 50% Fib near the mid-channel area of interest and the 61.8% level close to the 100 SMA dynamic resistance.
An even larger correction could reach the 200 SMA dynamic support that’s closer to the channel top and .9300 major psychological mark.
Netflix Inc. (NFLX): 4-hour
Anyone watch the Netflix earnings call and leadership shakeup this week?
If y’all ain’t got time for that, better keep your eyes on this bullish trend instead!
NFLX is moving inside a short-term rising channel and is currently bouncing off the resistance. This means that another dip to the bottom might be in order, and the $300 price level is looking like a sweet spot to join in the climb.A larger pullback could reach the longer-term rising trend line that coincides with the 200 SMA dynamic inflection point, which might be the line in the sand for the uptrend.
Not to worry, though, the 100 SMA is still above the 200 SMA to confirm that the climb is more likely to resume than to reverse.
Stochastic has a bit more room to head south before reaching the oversold area, so the correction could keep going until the oscillator indicates exhaustion among sellers.