NFLX update

last post on NFLX: https://bartscharts.com/2021/12/13/nflx-3/

in that post we did some “basic” work using EWT going w/ Wave 1 = Wave 5 and some “basic” retracement work. as you can see below there was a LOT of math and geometry coming into this level … fundamental frequencies, square root targets, geometry, extensions, etc. all made this an “interesting” area for sure.

where are we NFLX?

if you go back to a couple posts of NFLX you will see that I called it a “chart of the year” because of the very “ray charles” like count of 1,2,3,4,5. we blew thru the target zone by 3-4% probably because my ego got the better of me in coming up w/ that title (digression complete) but either way, we completed 5 waves up into 700 … and we just completed 5 waves down.

what is so important about that?

5 waves either complete a corrective C wave (they are ALWAYS 5 waves) and now we bounce OR they could show a change in trend. certainly believe it’s way too early to be calling for a change in trend for NFLX but our thesis, for now, is the 700 level was a potential big top. so, w/ 5 waves down we need to pay attention.

anyway, our targeted zone held as support (note there are at least 9 different methods showing this to be a good zone of support) and it appears our rally is on … from an Elliott perspective, a guideline (NOT a rule) is that a counter rally will go to the vicinity of the previous 4th wave of a lesser degree and we can see a LOT of math coming together in that zone/area. I do believe that area will work as resistance but I “expect” that the higher target will ultimately be the rally point as this entire NFLX bull run has had a lot of momentum …

so, for now, let’s see how this PATTERN plays out and watch the 625-630 area and also 650-660 for now …

note the fundamental frequency and square root targets
geometry and extensions
two zones to watch for now .. would like to see an ‘a-b-c’ type of EWT rally into one of these zones …somewhat in ‘no-mans-land’ right now …

also, note below, that Palladium also hit the target zone and found support …

Palladium rallies .. so does tech … so watch a potential really in Palladium also …!

bottom line – this rally “makes sense” and the math worked … so now, we WAIT and look to put a short on NFLX in the coming days or weeks.

thanks for reading and rock on, ok?

also, got a 4/3 wetsuit today … it’s just got plain cold in the Pacific and with a long period swell and a favorable tide, I could stay out there ALL DAY but cold got the better of me …

get some!

Author: BART

BART is a CMT and an expert a "advanced" pattern recognition used w/in the intermarket analysis discipline. He's also an accomplished Business Development Executive providing solutions to a myriad of business markets.

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