Relative Strength Alert For Netflix

Jan 10 2014, 12:18pm CST | by

Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.

In trading on Friday, shares of Netflix Inc. (NASD: NFLX) entered into oversold territory, hitting an RSI reading of 29.6, after changing hands as low as $333.075 per share. By comparison, the current RSI reading of the S&P 500 ETF (SPY) is 58.3. A bullish investor could look at NFLX’s 29.6 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of NFLX shares:

Looking at the chart above, NFLX’s low point in its 52 week range is $95.75 per share, with $389.16 as the 52 week high point — that compares with a last trade of $333.26. Find out what 9 other oversold stocks you need to know about »

According to the ETF Finder at ETFChannel.com, NFLX makes up 3.45% of the NASDAQ Internet Portfolio ETF (NASD: PNQI) which is trading lower by about 0.7% on the day Friday.


Special Offer: Establish a secure stream of income during your retirement years by following the Retiree Income Portfolio with this free 30 day trial


Source: Forbes Business

/>/>
 
 

Don't miss ...

 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

Mummy wearing jewellery unearthed in Egypt
London, Nov 23 (IANS) Spanish archaeologists have discovered about 4,000 years old female mummy wearing rare jewellery in Egypt.
 
 
Exercise and fasting could boost brain's functions
Washington, Nov 23 (IANS) Exercise along with occasional fasting is good for boosting the brain's neurons, shows a new research.
 
 
One infant dies in Pakistan hospital
Islamabad, Nov 23 (IANS) One more infant died due to lack of oxygen in an incubator and negligence of the hospital administration in Pakistan, bringing the number of such deaths to 19 in the past five days.
 
 
American whiskey faces challenge in whisky-gulping India
Washington, Nov 23 (IANS) For the most part Indians love things American, but when it comes to their tipple, the world's largest whisky drinkers usually go for Scotch or their very own home-made brands.
 
 
 

Latest from the Network

$1.99 DVD Movie Black Friday 2014 Deals are on Sale now at Best Buy Online
Like Walmart and Amazon, Best Buy kicks off their Black Friday 2014 sale early. You can already buy Best Buy Black Friday deals advertised in the Best Buy Black Friday 2014 ad today online at bestbuy.com. There is no...
Read more on Movie Balla
 
Indian Catholics now have three native saints
Vatican City/Thiruvananthapuram, Nov 23 (IANS) From now on Indian Catholics will have three native saints following the elevation of Kuriakose Elias Chavara, popularly known as Chavara Achen, and Sister Euphrasia,...
Read more on Politics Balla
 
Garner wants JLo to quit talking about Ben Affleck
Los Angeles, Nov 23 (IANS) Actress Jennifer Garner, who is married to Ben Affleck, is reportedly upset that singer-actress Jennifer Lopez in her interviews continues to mention her past camaraderie with her former beau...
Read more on Celebrity Balla
 
Three militants killed in Pakistan
Islamabad, Nov 23 (IANS) Three militants were killed and two injured in Pakistan's Khyber Agency, media reported Sunday. Lashkar-i-Islam (LI) militants were killed in a clash with Tauheedul Islam peace volunteers at...
Read more on Politics Balla
 
Cheryl Fernandez-Versini bounces back after throat infection
Los Angeles, Nov 23 (IANS) Singer Cheryl Fernandez-Versini, who was suffering a severe throat infection, bounced back on the judging panel of "The X Factor" after reports that she won't be able to make it. The "Crazy...
Read more on Celebrity Balla
 
Kim Kardashian's daughter gets as stylish as mom
Los Angeles, Nov 23 (IANS) Reality TV star Kim Kardashian's daughter North West is all of one, but she's already getting as stylish as her celebrity mother. Her latest accessory is a pair of giant sunglasses. A...
Read more on Celebrity Balla
 
Exercise and fasting could boost brain's functions
Washington, Nov 23 (IANS) Exercise along with occasional fasting is good for boosting the brain's neurons, shows a new research. The research on animals showed how intermittent fasting in rats and mice can enhance...
Read more on Celebrity Balla
 
Golfers Chiragh, Kapur end tied 9th, 20th in Manila
Manila, Nov 23 (IANS) Indian golfers Chiragh Kumar and Shiv Kapur finished tied ninth and 20th, respectively, after the fourth and final round of the $1 million Resorts World Manila Masters as overnight leader Mardan...
Read more on Sport Balla
 
Rita Ora gets more movie offers
Rita Ora has had a lot of offers for film work since starring in 'Fifty Shades of Grey'. The 23-year-old singer makes her movie debut as Christian Grey's sister Mia in the long-awaited movie adaptation of the raunchy...
Read more on Movie Balla
 
Justin Theroux warned by future father-in-law
Jennifer Aniston's dad has ordered Justin Theroux to be ''more considerate''. The 'Cake' actress' father John Aniston reportedly shares her frustration that they have still not set a wedding date, over two years after...
Read more on Celebrity Balla