Thursday, September 15, 2011

NetFlix Inc.

NetFlix Inc. announced that it is cutting its 3rd qtr. subscription guidance by 1 million. Looking for a technical standpoint on its security, currently (in premarket) NFLX is trading at 182$.


The lower trendline of the channel dates back to late 2008. If NFLX closes the day below ~ 180$, you can safely short the stock. If the channel holds, buy above 180$ with a 5% stop.

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