Netflix Stock Forecast
Explanation to Bollinger's Bands
Bollinger Bands was created by John Bollinger in the early 1980s, its purpose is to define price action relative to the assets highs and lows. This technical indicator is used to identify buy and sell signals and has proven very well in doing so.
Bollinger Bands consist of a set of three curves drawn in relation to securities prices. The middle band is a measure of the intermediate-term trend, usually a simple moving average, that serves as the base for the upper and lower bands. The interval between the upper and lower bands and the middle band is determined by volatility, typically the standard deviation of the same data that were used for the average. StockInvest.us uses Bollingers suggested 20 day average.
Middle Bollinger Band = 20-period simple moving average
Upper Bollinger Band = Middle Bollinger Band + 2 * 20-period standard deviation
Lower Bollinger Band = Middle Bollinger Band - 2 * 20-period standard deviation
BandWidth defines the current width of the band.
%b defines the current position within the band.
BandWidth = (Upper Bollinger Band - Lower Bollinger Band) / Middle Bollinger Band
%b = (Last - Lower Bollinger Band) / (Upper Bollinger Band - Lower Bollinger Band)
Live Samples:
Bottlenecks in bandwidth indicate an upcoming change. Break up through the moving average line or continuous movements above the moving average line indicate a break up, and vice versa.
Source: http://www.bollingerbands.com
Netflix stock price down 0.510% on Thursday
(Updated on Apr 18, 2024)
The stock lies in the middle of a wide and strong rising trend in the short term and a further rise within the trend is signaled. Given the current short-term trend, the stock is expected to rise 17.71% during the next 3 months and, with a 90% probability hold a price between $683.62 and $765.54 at the end of this 3-month period.
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NFLX Signals & Forecast
There are few to no technical positive signals at the moment. The Netflix stock holds sell signals from both short and long-term Moving Averages giving a more negative forecast for the stock. On corrections up, there will be some resistance from the lines at $617.02 and $616.02. A break-up above any of these levels will issue buy signals. A sell signal was issued from a pivot top point on Friday, April 05, 2024, and so far it has fallen -4.03%. Further fall is indicated until a new bottom pivot has been found. Furthermore, there is currently a sell signal from the 3 month Moving Average Convergence Divergence (MACD). Volume rose on falling prices yesterday. This may be an early warning and the stock should be followed more closely.
Support, Risk & Stop-loss for Netflix stock
On the downside, the stock finds support just below today's level from accumulated volume at $570.42 and $544.87. There is a natural risk involved when a stock is testing a support level, since if this is broken, the stock then may fall to the next support level. In this case, Netflix finds support just below today's level at $570.42. If this is broken, then the next support from accumulated volume will be at $544.87 and $492.19.
In general the stock tends to have very controlled movements and with good liquidity the risk is considered very low in this stock. During the last day, the stock moved $15.90 between high and low, or 2.63%. For the last week the stock has had daily average volatility of 2.78%.
Our recommended stop-loss: We hold a negative evaluation for this stock. No stop-loss is set.
Trading Expectations (NFLX) For The Upcoming Trading Day Of Friday 19th
For the upcoming trading day on Friday, 19th we expect Netflix to open at $612.44, and during the day (based on 14 day Average True Range), to move between $595.37 and $625.75, which gives a possible trading interval of +/-$15.19 (+/-2.49%) up or down from last closing price. If Netflix takes out the full calculated possible swing range there will be an estimated 4.98% move between the lowest and the highest trading price during the day.
Since the stock is closer to the resistance from accumulated volume at $617.52 (1.14%) than the support at $570.42 (6.57%), our systems don't find the trading risk/reward intra-day attractive and any bets should be held until the stock is closer to the support level.
Earnings coming up
Netflix will release earnings AMC on Thursday, April 18, 2024.The consensus among the analysts for the expected earnings (EPS) is $4.50. We will update the financials statements for Netflix, that can be found here as soon as the records are public. Our systems has calculated a possible swing of +/- 3.56% in the first trading day after earnings release.
Is Netflix stock A Buy?
The Netflix stock holds several negative signals and despite the positive trend, we believe Netflix will perform weakly in the next couple of days or weeks. Therefore, we hold a negative evaluation of this stock.
Current score: -4.179 Sell Candidate Unchanged
Predicted Opening Price for Netflix of Friday, April 19, 2024
| Fair opening price April 19, 2024 | Current price |
|---|---|
| $612.44 ( 0.308%) | $610.56 |
The predicted opening price is based on yesterday's movements between high, low, and closing price.
Trading levels for NFLX
Fibonacci Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 628.34 | 2.91 % | |
| R2 | 622.26 | 1.92 % | ||
| R1 | 618.51 | 1.30 % | ||
| Current price: | 610.56 | |||
| Support | S1 | 606.37 | -0.686 % | |
| S2 | 602.62 | -1.30 % | ||
| S3 | 596.55 | -2.30 % |
Accumulated Volume Support & Resistance Levels
| Level | Price | |||
|---|---|---|---|---|
| Resistance | R3 | 619.34 | 1.44 % | |
| R2 | 618.39 | 1.28 % | ||
| R1 | 617.52 | 1.14 % | ||
| Current price | 610.56 | |||
| Support | S1 | 570.42 | -6.57% | |
| S2 | 544.87 | -10.76% | ||
| S3 | 492.19 | -19.39% |
FAQ
Click here for our free guide on how to buy Netflix Stock.
