Blue lines- bullish channel
Red lines- bearish RSI divergence
META stock price has been trading inside the blue upward sloping channel since November of 2022. Price continues making higher highs and higher lows. Bulls remain in control of the trend. However as we mentioned in previous posts, the RSI has provided us with important bearish warnings. The RSI has provided us with three lower highs suggesting bearish divergence as price was making higher highs. META stock price is under pressure over the last few trading sessions and has reached important support area. Price is now challenging the lower channel boundary. A break out of the bullish channel would imply that a bigger correction should be expected.
