FB.US
Our expectations: Uptrend and correction to levels of strong horizontal support. After 3 unsuccessful attempts to break the support and a gap in upward direction which is not filled, we expect that the upward movement will continue and position long with a stop loss around 143.13.
Alternative scenario: If price breaks the support and stays below it then a deeper correction is likely to follow.
Comment: Facebook is a company from the technology sector that is among the best performing. According to the analysts' average estimate, the real value of the share is about 169.43, and the current price is 149.87, which indicates that the stock is currently underestimated.
Price action: 3 pin bars around a support levels and unfilled upward gap - signals that confirm the upward movement.
SMA50 above SMA200 that shows a positive sentiment.
CCI50 in a positive territory - also supports the upward movement.
SL: 143.13
Jr Trader Ivan Ivanov
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