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Category:Netflix (NFLX) and Technical Analysis
Date: 20 October 2020 Stock Price of Netflix : $530.27 The stock price of Netflix has increased by an astronomical 376.62% over the last 5 years. An excellent return provided to stockholders. The question is what is next for the stock of Netflix? We take a look at the current support and resistance levels of Netflix based on moving averages and pivot points.
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Over the last 5 years the stock of Netflix increased by a whopping 376.62%. While no stockholder will say no to these types of returns, the question is where to from here for the stock of Netflix?"
More About NetFlix
The Home Depot, Inc. is the world’s largest home improvement retailer based on net sales for fiscal 2019. We offer our customers a wide assortment of building materials, home improvement products, lawn and garden products, and décor products and provide a number of services, including home improvement installation services and tool and equipment rental. As of the end of fiscal 2019, we had 2,291 The Home Depot stores located throughout the U.S. (including the Commonwealth of Puerto Rico and the territories of the U.S. Virgin Islands and Guam), Canada, and Mexico. The Home Depot stores average approximately 104,000 square feet of enclosed space, with approximately 24,000 additional square feet of outside garden area. We also maintain a network of distribution and fulfillment centers, as well as a number of e-commerce websites
The Home Depot is listed on the New York Stock Exchange under stock code ticker: HD
The data below refers to the full fiscal 2019:
The Home Depot is listed on the New York Stock Exchange under stock code ticker: HD
- Total revenues for 2019 fiscal year : $110.225 billion
- Number of Home Depot Stores: 2 291
- Average Home Depot store size: 104 000 square feet plus an average of 24 000 square feet for the outdoor and garden section
The data below refers to the full fiscal 2019:
- Comparable sales increase: 3.5%
- Comparable customer transactions increase: 1.1%
- Comparable average ticket increase:2.5%
- Customer transactions (in millions): 1,616.0
- Average ticket: $ 67.30
- Sales per retail square foot: $454.82
- Diluted earnings per share $ 10.25
Enola Holmes
Netflix (NFLX) stock price history over the last 5 years
The image below shows the stock price history of Netflix (NFLX) over the last 5 years. And it's been decent time for Netflix stockholders with the stock of Netflix increasing by 376.62% over the last 5 years. So the next question is where to next for Netflix? And where will the stock find support and resistance?
Netflix (NFLX) stock price history over the last 5 years
Over the last 5 years the stock of Netflix increased by a whopping 337%. While no stockholder will say no to these types of returns, the question is where to from here for the stock of Netflix?. Below we do some technical analysis on Netflix (NFLX) stock price in order to determine the most likely route NFLX stock is to take in coming weeks and months.
Technical Analysis of Netflix (NFLX) stock price
While there are many different technical analysis indicators we tend to follow the principle of keeping things simple. The KIS principle. So we will take a look at the shorter term moving averages and the longer term moving averages. So let's focus at the longer term moving averages first.
Below we do some technical analysis on Netflix (NFLX) stock price in order to determine the most likely route NFLX stock is to take in coming weeks and months. The image below shows the stock price of Netflix (NFLX) as well as its 50 day and 200 day moving average.
Below we do some technical analysis on Netflix (NFLX) stock price in order to determine the most likely route NFLX stock is to take in coming weeks and months. The image below shows the stock price of Netflix (NFLX) as well as its 50 day and 200 day moving average.
Netflix (NFLX) stock price with its 50 and 200 day moving average
So where will the stock of Netflix find medium and longer term support and resistance? Moving averages provides a good answer and we will take a look at these below.
Turning our attention to the moving averages one can see the 50 day moving average is well above the 200 day moving average (which is a positive sign for a company's stock price). If the 50 day moving average crosses below the 200 day moving average it is a negative sign and indicates potential stock declines, if the 50 day crosses above the 200 day moving average its a positive sign for a company's stock price.
From the image above one can see the 50 day moving average is well above the 200 day moving average, which is a positive sign. So if the stock is to decline from current levels the question is how far will it fall, if it falls? The 50 day moving average and 200 day moving average also shows medium and long term support levels for a stock price. So should Netflix (NFLX) stock decline more it is expected to find medium and longer term support at the following prices:
As we mentioned 50 day and 200 day moving averages are longer term technical indicators, so let's take a look at shorter term indicators. The image below shows the stock price of Netflix (NFLX) as well as its 10 day and 30 day moving average which provides a shorter term view on support and resistance levels for Netflix stocks
Turning our attention to the moving averages one can see the 50 day moving average is well above the 200 day moving average (which is a positive sign for a company's stock price). If the 50 day moving average crosses below the 200 day moving average it is a negative sign and indicates potential stock declines, if the 50 day crosses above the 200 day moving average its a positive sign for a company's stock price.
From the image above one can see the 50 day moving average is well above the 200 day moving average, which is a positive sign. So if the stock is to decline from current levels the question is how far will it fall, if it falls? The 50 day moving average and 200 day moving average also shows medium and long term support levels for a stock price. So should Netflix (NFLX) stock decline more it is expected to find medium and longer term support at the following prices:
- 50 day moving average: $505.08
- 200 day moving average : $434.23
As we mentioned 50 day and 200 day moving averages are longer term technical indicators, so let's take a look at shorter term indicators. The image below shows the stock price of Netflix (NFLX) as well as its 10 day and 30 day moving average which provides a shorter term view on support and resistance levels for Netflix stocks
Netflix (NFLX) stock price with its 10 and 30 day moving average
In a similar vein to the approach to the longer term analysis, if the 10 day moving averages crosses over above the 30 day moving average it is a positive sign for a stock and if the 10 day moving average crosses below the 30 day moving average its a negative sign for a stock price. At this point the 10 day moving average is trading at very close to the 30 day moving average (a positive sign as it recently broke above the 30 day moving average). So if the stock is to increase even more, where will it find resistance, or if it declines where where is the support levels for Netflix stock price based on moving averages.
So should Netflix (NFLX) stock be in for a correction the first support levels will be the shorter term levels shown above. If the stock falls below these support levels the next support levels will be the 50 day and 200 day moving average levels.
Thus if the stock of Netflix decides today to start its decline we will see the following levels as support levels for Netflix (NFLX):
While the short term and medium to longer term moving averages for Netflix all point in a positive direction as the 10 day moving average is still well above the 30 day moving average, and the 50 day moving average being well above the 200 day moving average, it is handy to know that if the stock declines where will it find support and resistance levels.
Another popular gauge for support and resistance levels of a stock is pivot points. The image below shows the pivot points calculated for Netflix using a monthly time frame.
- 10 day moving average: $535.06
- 30 day moving average: $505.24
So should Netflix (NFLX) stock be in for a correction the first support levels will be the shorter term levels shown above. If the stock falls below these support levels the next support levels will be the 50 day and 200 day moving average levels.
Thus if the stock of Netflix decides today to start its decline we will see the following levels as support levels for Netflix (NFLX):
- 10 day moving average: $535.06
- 30 day moving average: $505.24
- 50 day moving average: $505.08
- 200 day moving average : $434.23
While the short term and medium to longer term moving averages for Netflix all point in a positive direction as the 10 day moving average is still well above the 30 day moving average, and the 50 day moving average being well above the 200 day moving average, it is handy to know that if the stock declines where will it find support and resistance levels.
Another popular gauge for support and resistance levels of a stock is pivot points. The image below shows the pivot points calculated for Netflix using a monthly time frame.
The following shows the pivot point and the resistance and support levels for the stock of Netflix. If a stock is trading at above its Pivot point then it will find resistance at the resistance levels calculated, and if it falls below its pivot point it will find support at the support levels calculated.
Netflix (NFLX) is currently trading at well above its pivot point, which brings the resistance levels into play, which shows that the stock of Netflix will struggle to get above and stay above $552.08, if it manages to break through that level the next price where it will find resistance is at $604.13. If the stock of Netflix falls below the pivot price, then the stock will find support at $453.29 and if it falls below that the next support level is $406.55
- Resistance 3: $650.87
- Resistance 2: $604.13
- Resistance 1: $552.08
- Pivot: $505.34
- Support 1: $453.29
- Support 2: $406.55
- Support 3: $354.50
Netflix (NFLX) is currently trading at well above its pivot point, which brings the resistance levels into play, which shows that the stock of Netflix will struggle to get above and stay above $552.08, if it manages to break through that level the next price where it will find resistance is at $604.13. If the stock of Netflix falls below the pivot price, then the stock will find support at $453.29 and if it falls below that the next support level is $406.55