Short

Clear Break Out Of 5 Year Channel

Updated

Facebook has been trending inside the same channel for nearly 5 years. It recently broke out of the channel, and not in a false flag or noise sort of way - instead, the break is very clear, and very ominous, since Facebook basically hasn't experienced anything like this for its stock price in over 5 years. The silver lining is that the stock appears to have rebounded off its lower low (blue line) indicating that the stock won't go into free fall. However, when combined with the macro environment of the overall stock market and nearly 7% drop of the S&P 500 in the last 15 days, look for continued movement outside the channel in the future.

Note

Trade Was Correct

Trader9898

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.