Netflix stock price has mostly been moving sideways since the mid of July. Price has been trading sideways inside the trading range between $508 and $525. Current sideways movement is expected to end soon and price to enter a new trend. Our most probable scenario is for price to break support of $508 and move lower towards $493 or even $472.
Red lines- potential downside targets
NFLX stock price is vulnerable to a move below $500. This bearish scenario will be activated if price breaks below the green support trend line. As long as bulls defend this trend line, they have nothing to fear. Breaking below it will give us a sell signal. Bears do not want to see price push above the recent highs of $526.16.
