Looking to trade big moves on the long-term charts?
Start the trading week off by taking a look at these potential plays on Netflix (NFLX), gold, and NZD/CAD!
Netflix (NFLX): Weekly
Netflix got no chill on its recent tumble, but things might soon start lookin’ up for the streaming giant!
The share price is hitting a strong floor right around the $400 mark, which happens to be right smack in line with an ascending trend line that’s been holding for nearly FOUR years already.
To top it off, this is also within an area of interest or former resistance zone that might now hold as support.
Technical indicators are suggesting that bullish pressure could pick up, too. The 100 SMA is above the 200 SMA to suggest that support is more likely to hold than to break while Stochastic looks ready to pull higher from the oversold region.
If support holds, we just might see Netflix shares make a beeline for the latest highs or at least find its way back to the next area of interest at $500.
Just be careful when going long since price is below the dynamic inflection points at the moving averages.
NZD/CAD: Daily
Looking for a potential reversal play? Here’s one on the daily chart of NZD/CAD!
The forex pair is forming an inverted head and shoulders pattern to hint that an uptrend might be in the works. Price has yet to break past the neckline around the .8800 handle to confirm that a rally of the same height as the chart formation (That’s 400 pips yo!) would follow.
There might still be some bearish vibes present, though, as the 100 SMA is below the 200 SMA while Stochastic has room to move south. This means that NZD/CAD might hang around current levels until the oscillator reflects exhaustion among sellers.
If you’re looking to catch a move higher, better keep your eyes locked on the dynamic resistance around the 200 SMA since an upside break might be an early bullish signal.
XAU/USD (Gold): Daily
Here’s one for the gold bugs out there!
The precious metal seems to be finding support around the 50% to 61.8% Fibonacci retracement levels on the daily time frame, possibly setting its sights back on the swing high just past $2,050 per ounce.
Technical indicators support a continuation of the rally, with the 100 SMA above the 200 SMA and Stochastic already on the move up.
A larger pullback might still be in the works, likely taking gold down to the rising trend line and area of interest around $1,850-1,900 per ounce. This is right around the dynamic support at the moving averages, which suggests that more bulls might be waiting to charge at this level.
