Facebook (FB)
$FB's relative strengthThe social media giant was one of the few to avoid a new yearly low last week. It posted an impressive oversold bounce on Thursday and Friday as it came back to $200. For today, see if $195 holds for momentum. The next big resistance area is around its 50SMA around $206. Keep it on your radar for overall sentiment in tech.
FACEBOOK(Meta) Massive Support! Buy!
Hello,Traders!
FACEBOOK shares collapsed recently
And the stock was down by 56% recently
However, the downward spiral might be over soon
Firstly, because FB at -56% off is a great deal
And secondly because the price is about to retest
A massive long-term rising trend-line
From where I am expecting a bullish correction
With the upside target being the horizontal resistance above
Buy!
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Meta Finds Support at Fibonacci LevelIt appears that Meta has found support on the weekly chart at the same fibonacci level as in 2018 and 2020. The monthly Ichimoku Cloud is also supporting this same level. Prices appear to be consolidating. Looks like a good entry for a long term investment strategy. Please share your thoughts below!
5/11/22 FBMeta Platforms, Inc. ( NASDAQ:FB )
Sector: Technology Services (Internet Software/Services)
Market Capitalization: $534.943B
Current Price: $197.65
Breakdown price: $194.40
Sell Zone (Top/Bottom Range): $192.65-$205.65
Price Target: $187.40-$182.00 (1st), $149.20-$147.00 (2nd)
Estimated Duration to Target: 16-17d (1st), 80-85d (2nd)
Contract of Interest: $FB 5/27/22 200p, $FB 7/15/22 200p
Trade price as of publish date: $10.85/contract, $17.40/contract
XLC trade for Meta and Alphabet exposureUsing XLC ETF to get exposure to Meta and Alphabet which is 40% of the fund. Taking advantage of the 61% drop from it's highs in Aug-Sep 2021, eventually the trend will change considering lower leverage of FB and GOOGL which is steady at 1.3 times it's Common Stock. FB has profit margin of 33% in 2021 which is high and has been fairly steady since 2017. Although ROE is sitting at 32% and 30% respectively for FB and GOOGL, the low leverage adds to its attractiveness. Considering we're entering a bear market, fundamentals are playing a key role in these growth stocks.
$FB falling behind -I am looking to take FB puts below 196.69... Meta has been falling a bit behind since they had good earnings
-We also have a gap to fill below 193.13 All the way down to 182.00
-Best gameplan for this situation: Wait for confirmation below the 193.13 levels then take an entry down to 182 183 lvls
FB - Even Deeper Correction, Another 60% Drop?With poor earnings report in the first quarter of 2022 and downbeat forecast for the second quarter, rising competition from TikTok - can we expect even further fall for Meta Platforms ?
Fundamental indicators:
Revenue and Profits - consistently strong growth up until now but 2022 may be the first year when the rate slows down which is putting investors off at the moment
Profit margin - impressive 31% last year but will be reducing with growing CAPEX for Metaverse
P/E - already reasonable ration at 16x
Liabilities - no problems with debt
Technically:
Following IPO back in 2012 Meta has enjoyed explosive growth cycle which has culminated in September 2021
All of this movement can be marked as an initial 5 wave impulse and now we are observing the development of the global second wave which is normally very deep and rapid
The structure of the second wave is very likely to be an ABC zigzag where waves A and B have already completed
Waves 1 to 3 of C have already formed and fourth is taking shape as a Running Flat
The fact that this correction is tilted in the direction of trend, i.e. Running, the fifth wave can be quite aggressive and reach circa $96 which represents 0.786 Fibonacci retracement of the global wave 1, or possibly even deeper
What do you think about Meta Platforms and its future?
Please share your thoughts in the comments and like this idea if you would like to see more stocks analysed using Elliott Waves.
Thanks
$AAPL $FB $SPY $QQQ I OptionsSwing WatchlistAAPL 1M I AAPL is barely holding the uptrend on the monthly chart. It looks bearish below $150. AAPL moved lower last week after reporting earnings.
FB 1M I FB managed to hold the uptrend on the monthly chart after it beat earnings last week. $170 seems like a strong support level while $220 is resistance.
QQQ 1D I QQQ is testing March lows as the overall tech sector remains weak. After the biggest tech players reported earnings last week we saw many fade after ER.
SPY 1D I SPY is testing the lows from March. The overall trend remains to the downside as the market leaders have disappointed after reporting earnings.
FB- how can they guide higher? I say they cannotFacebook is not cool anymore, the next generation isn't interested in anything their parents and grandparents are part of. TikTok has been eating Youtube, FB, IG, Reels lunch. Russia blocked FB 71 million and IG over 80 million accounts. AAPL's tracking software has hindered Facebooks ability to target advertising. The metaverse, whatever that will become is eating up billions of FB profit on something we don't know how they can monetize. Inflation is squeezing the middle class which will cause business income to fall, which means less advertising on platforms like Facebook. Puchased 25 May 27th $170 puts. I know the stock is down a lot already, but, so was NFLX which stil hasn't found a bottom. FB is at support, I doubt it will hold. GL
FB-Huge upside move comingNASDAQ:FB
Meta Quarterly Results Beat On Earnings But Short On Revenue
Meta Platforms stock jumped as the social media company reported first-quarter results after the market close that beat earnings estimates, but missed on revenue . Facebook’s main social network added more users than projected in the first quarter, potentially staving off concerns that the company is losing momentum as a new generation flocks to younger sites like TikTok.
And when they own 80% of the world's internet population you are pretty saturated, so the temporary decline in the active users shouldn't be treated as a big thread and the 170-200 diapason is a fair value to buy a piece of this giant with possibly more than 50% upside move to the path which can be reached within a year. And the big investment they made into Metaverse still needs time as it is not something that is going to develop in the next quarter or next year. It is a five to ten-year evolution and when this investment starts finally bring revenue it will be a unique asset to the company just as Warren Buffett says successful investments are often companies that are low-cost producers or that own powerful brands.