Check out the picture on Netflix (NFLX). It’s a buy! (September 16, 2016)

by DAN NFLX 
Lets look at Netflix ( NASDAQ:NFLX ). The weekly chart, this is looking pretty constructive, just wait until I get to the daily chart. You can see that this stock is trading in kind of an increasingly narrow range right here. This is what you want to see. You know Netflix ( NASDAQ:NFLX ), you know the company. All during this time it has been kind of flirting with pushing above this 40-week or 200-day moving average, but it hasn’t quite been able to get it done. Well now, at the same time as it is starting to move above there it is also moving above a key number, 100.00. That is a big deal frankly, because you get a lot of folks who own this stock are going to say, “Well I will sell it when it gets too 100.00.” You are not going to find too many people who are going to say, “I will buy it when it gets to 100.00. But you will see, when it gets to $100.00 I will sell it.”

Why is that important? Because once all the folks who want to sell it $100.00 are done. Who is left? The folks who want to sell it at 101.00, 102.00, 105.00, 110.00, 120.00. Well what do we care about those people? We care about those people because that is where the supply is coming from. And if there is enough DEMAND you will see this stock start to breakout. If there is NOT enough demand the stock will fall. So this is one of those situations where you don’t really have to predict. You can wait, because the stock is only 50 cents below $100.00(okay 52). I am going to set a price alert from members, you can set this on your own computer; I am setting a price alert for $100.50. If this stock hits $100.50 buy the stock because it is going to start running higher. That is what I am telling you know.

Free Chart