Here’s my take on Facebook ($FB) – January 3, 2022


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I want to get right to Facebook ( NASDAQ: FB ). Zuckerberg, not exactly my best choice for strong character guy of the year, decides he is going to change the name. Hopefully, maybe get a brand new reputation, probably not going to happen. But in any event I kind of like what the guy has done.

I don’t know when this dirtbag decided to change the name and I don’t think this little swoon has anything to do with that. I just think it’s been time for the stock to settle down. But this Oculus deal, from the people that I have talked to, Scott McGregor, my sidekick, has been one, and then Mark Minnervini, another one that this Oculus deal is the real deal.

I’m looking at it and when I saw that they actually have fitness programs, it’s not just for people who want to shoot guns virtually or play Call of Duty in 3D, whatever it is. But when they have fitness routines and stuff like that, I can really see some great applications for it, which means that the product has a much broader application than I initially thought that it did.

Basically what I am saying is, I’ve been wrong, I’ve missed the whole story on this. This is the best way I can say it, I kind of missed the big deal, but now I’m not. And so the nice thing is, even though I missed the big deal the stock is down to where you can still buy it. You look at the weekly chart and this is in a long sideways consolidation. The way this is trading, for crying out loud, this thing can meander around here for quite a while and then ultimately get going. I seriously doubt it would do that, so this isn’t exactly a volatility squeeze that is waiting to pop, it’s not.

I will say this, they report earnings on the 26th so it’s just about 4-weeks away, something like that. If the stock breaks out above 350.00 I think this would probably wind up being a really nice entry to catch a run to new highs. And then my other caveat would be, you want to see the stock, it’s got to stay above here, it’s got to stay above 300.00. If it doesn’t stay above 300.00 then you definitely don’t want to buy it.

I haven’t looked at the valuation on it yet, it is just really not where I am oriented right now, right these days. But as long as the stock is staying above 300.00 and it is kind of in this box, I think this is a stock that you absolutely want to keep track of. If you want to start building a position in it I think that is cool too, as close to the 200 as you can, which is, it doesn’t get much closer than this. That is my take on Facebook ( NASDAQ: FB ) here.

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