NFLX WANTS TO EAT MORE SHORTS. LOTS MORE.
A review of the price action in NFLX is below. Notes in the chart and all.
The earnings numbers mean nothing. Companies like NFLX don't top on bad earnings numbers. You see, that would too easy. It would be the equivalent of the market giving you a big hug, followed by a bag of cash. The market doesn't give out hugs. It is a miserly old scrooge that wants you to fall into a deep crevasse, far from civilization so that rescue will be impossible.
When NFLX tops, it will do so on fantastic earnings numbers, followed by an overwhelming feeling of conviction amongst longs in the stocks and outright fear, panic and depression amongst the shorts. It doesn't seem we are close to that point. I'm expecting new highs shortly.
NFLX chart is below:
click to enlarge
NFLX
