Netflix's share price appears to be developing a Bearish Bat pattern, which would allow traders to catch a potential rebound. This setup is made especially interesting given the fact that the company is set to report quarterly earnings on the 20th of April, which is bound to stir extra volatility.
The Bearish Bat is not the pattern that Netflix deserves, but it is one it needs right now. That is so because the company is expected to deliver Earnings Per Share (EPS) of $2.98 for Q1 vs the $1.57 EPS that were reported for the same period last year. Despite this, Netflix's stock does not find itself in a strong uptrend, which is what presupposes the likely dropdown.
The rebound is likely to take place around 570.00, potentially dropping to the psychologically significant support level at 500.00.
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The Bearish Bat is not the pattern that Netflix deserves, but it is one it needs right now. That is so because the company is expected to deliver Earnings Per Share (EPS) of $2.98 for Q1 vs the $1.57 EPS that were reported for the same period last year. Despite this, Netflix's stock does not find itself in a strong uptrend, which is what presupposes the likely dropdown.
The rebound is likely to take place around 570.00, potentially dropping to the psychologically significant support level at 500.00.
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