Is NFLX paying attention to Greece? I think not. (June 16, 2012)
NFLX
It’s StockMarketMentor.com on Saturday, June 16th. We’re waiting for Greece which remains the word but I want to look at Netflix ( $NFLX ) . Honestly, I don’t really think what’s happening over in Greece or Europe or the Eurozone or anyplace else is really impacting Netflix ( $NFLX ) so this is a stock that I feel comfortable looking at irrespective of all the garbage, all the stuff going on overseas. So look, is this the time to buy Netflix ( $NFLX ) ? Actually, yeah if you’ve been looking to buy Netflix ( $NFLX ) this is the time and here’s why. Because it’s at a low risk buy point. Members, I talk about this all the time. In fact I give you a couple really super low risk buys in the weekend update. Here’s why, because here was the low from last November. Extend that over and we’ve got a real pattern here of lows that are reliable and so we look for a move to the upside from here. Here’s how we do it. This last low here was $60.70 this one which was on Thursday $61.00. I’m gonna drop this down and say at $60.70 we will look at support as like $60.00 so this is about 10 percent a 10 percent zone here between where support would be and where the stock is right now. That’s actually more than I like to give it and so here’s what I would suggest doing. I would suggest looking at Friday’s intraday low of $62.73. That is new support. As long as the stock stays above this level then you’re okay to be long the stock but if it starts drifting lower then you need to get out of the stock. The downtrend is pretty clear. Two hundred day moving average looks like a missile coming in to explode. Fifty day moving average even worse, twenty day worse still. So these are all driving down and the price is even lower than all of them so this is a really, really bearish configuration. But a lot of times when you get a stock that looks like this the next move is gonna be up, so we get the big low here, the higher low here. I would look for an upside move here. Not as a big macro move that’s gonna take a stock up above a hundred bucks. You don’t screw all your customers like Netflix ( $NFLX ) did and there’s no pretty way to say it. You don’t screw all your customers like Netflix ( $NFLX ) did and then just come back from it. So this is going to take of while, if ever, for the stock to get back up to where it was before. But we’re not really thinking about that, all were thinking about is this low and a higher low and oversold stock that’s right for a move, I’d say at least into the seventies. Just a short term trade that’s away from Greece. Okay members weekend update lot of video lot of ideas heavy treatment on the retail sector in the sector spotlight I want you to get over there now. Free Chart