NFLX over-reaction: dropped 25.7% after earnings, what next?
The NFLX drop post-market may be an over-reaction to the loss of subscribers. Even ROKU streaming was affected by the negative sentiment & dropped 6% post-market after rising 8.22% Tuesday. FAANG stocks was consequently pulled down by 9% after the drop in NFLX.
I think NFLX can recover in the next few weeks to 350, the 0.854 Fibo level from where it dropped. That will be a 33% upside from current 258. All it takes is another blockbuster.
It is probable that NFLX may drop a little further first down to the 232 to 250 support zone in the chart & consolidate from there before recovery. It will take a lot of work considering such damage already done.
Not trading advice
I think NFLX can recover in the next few weeks to 350, the 0.854 Fibo level from where it dropped. That will be a 33% upside from current 258. All it takes is another blockbuster.
It is probable that NFLX may drop a little further first down to the 232 to 250 support zone in the chart & consolidate from there before recovery. It will take a lot of work considering such damage already done.
Not trading advice