Hubert Senters here.
Let’s take a look at Facebook. I know we’re going to get tons of questions so almost do a pre-emptive strike here. And I know the questions are going to be like this ‘’hey, what should I do with Facebook? We get them all the time.
So Facebook is the biggest net loser today across. Let me just double check it. It is one of the biggest net losers on the day which is Facebook. ‘’What should you do with it?’’
Well, first and foremost you probably shouldn’t be in that thing. So the ADX, you see this one, I’m going to zoom up here and show you one of my filter criteria that I use. And this isn’t all be all like bunch of different indicators do different things.
This right here it tells me that when the yellow line turns into a red line it means it’s below my threshold. My threshold is $20 so it’s below $20 and it’s non-trending. Maybe that’s true, maybe that’s not. Now, if you can see down here that it stopped going down at a bottom at $10 and now it’s going back up to $12.63 and it’s below the cloud.
So, Facebook is a better short than it is a long but it’s right on top of support so this area right here you can see it’s got some decent support, if it breaks that then the next leg down is going to be down in this area.
And then after that Facebook could potentially fall all the way down here to $150, so that’s the synopsis on Facebook. It’s not trending great now. Right now, it is a better short than it is a long in my opinion. And these would be the support areas, if you’re going to short it you should be covering up some of it today if you’re short.
If you are lucky enough or skilled enough to short that bad, it open you should have covered some of that here at the $170 here. If you didn’t and you’re saying ‘’OK, I’m going to short it tomorrow.’’ Well, your target will still be $170, 161 and then $150.
If you are a long term holder of Facebook then I would use today as a potential day that you could potentially add to your position but I think it’s probably going to drop down to $161 so I’d be looking for a discount it like $161 or $150.
Good luck. Hope it helps. And I’ll see you on the next video.
Hubert.
