NFLX Short (Sept-Oct)
I plan to short NFLX if it blasts into this profit taking area, highlighted in red. Yes, it's in demand.. but its approaching a pretty dense supply area. It's forming a pretty large head and shoulders pattern and I think for the short term, there is more money to be made on the down side. Fib levels check out to me when I compared them to supply and demand areas on all time frames. I believe profit takers want their money but as demand pushes us upward, bullish stops will get tighter making down moves aggressive. I will only enter following a bullish spike which will knock out a few stops and pull shares back into the down move. If momentum slows on the initial down move, I'll tighten my stops and I'll exit exit if we find support on a demand level.
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