Trade Ideas for Tuesday - Rambus and Netflix
Chart courtesy of www.stockcharts.com ( click to enlarge )NFLX - After declining for a month, the stock has been supported at the 37 level, suggesting a possible reversal. The reversal seems especially likely to occur. In addition to the bullish price action, volume was very strong today and there was a bullish Stochastics crossover in oversold territory. Keep NFLX in your radar.
Chart courtesy of www.stockcharts.com ( click to enlarge )Rambus shares closed at 19.13 Monday, a gain of 10 percent with a volume of 9 million of shares. The stock has surged more than 100% in the past 2 months. On a technical basis Rambus seems to be overextended. It has been overbought too quickly for most of the momentum to be sustainable. Based on the current RSI levels in the stock, the probability of the rally continuing this week is not high. Nonetheless, the stock can go higher even if is overextended... Although the recent move maybe needs a small correction before going higher. At this point, I recommend using this rally as an opportunity to raise cash, sit on the sidelines and wait for a good buying opportunity for the long term. I remain very sceptical of where the price will go in the next few days........
Disclaimer : Trading stocks involves risk, this information should not be viewed as trading recommendations.The charts provided here are not meant for investment purposes and only serve as technical examples.
That's all Folks. See you tomorrow !!!
AC
That's all Folks. See you tomorrow !!!
AC
