Facebook Inc. (NASDAQ: FB) traded lower yesterday, after hitting resistance at 345.30. Overall, the stock has been printing lower highs and lower lows below the upside support line taken from the low of March 4th, since September 17th, and thus we would consider the short-term outlook to be negative for now.
We believe that yesterday’s slide could continue towards the 335.00 zone, which provided support on July 19th and 20th, where another break could trigger extensions towards the June 21st, at 328.00, or the low of June 3rd, at 323.40. If neither area is able to stop the fall, then we could see declines towards the low of May 21st, at 315.50.
Our short-term oscillators detect strong downside speed and support the notion for further declines in this stock. The RSI lies slightly above 30 and has now turned down again, while the MACD, already negative, has crossed back below its trigger line.
On the upside, we would like to see a rebound back above 355.00, marked by Tuesday’s high before we get confident on some decent advances. This could initially target the peak of September 21st, at 360.00, the break of which could open the path towards the 367.70 barrier, marked by the inside swing low of September 15th. Another break, above 367.70 could see scope for extensions towards the high of that day, at 375.75.
Disclaimer:
The content we produce does not constitute investment advice or investment recommendation (should not be considered as such) and does not in any way constitute an invitation to acquire any financial instrument or product. The Group of Companies of JFD, its affiliates, agents, directors, officers or employees are not liable for any damages that may be caused by individual comments or statements by JFD analysts and assumes no liability with respect to the completeness and correctness of the content presented. The investor is solely responsible for the risk of his investment decisions. Accordingly, you should seek, if you consider appropriate, relevant independent professional advice on the investment considered. The analyses and comments presented do not include any consideration of your personal investment objectives, financial circumstances or needs. The content has not been prepared in accordance with the legal requirements for financial analyses and must therefore be viewed by the reader as marketing information. JFD prohibits the duplication or publication without explicit approval.
There are risks involved with trading of cash equities. Past performance is not indicative of future results. You should consider whether you can tolerate such losses before trading. Please read the full Risk Disclosure.
Copyright 2021 JFD Group Ltd.