Peter Smith
⬤ Netflix stock extended its slide this week, falling to its lowest level since April as downside momentum picked up steam. The stock has been under heavy selling pressure, pushing it sharply lower toward the $98.80 zone—a major support area that's been tested multiple times this year.
⬤ The weakness started building throughout November and got worse after Netflix dropped below $105 without bouncing back. The price action shows a clear pattern of lower highs and lower lows, confirming the bearish trend is firmly in place. Pre-market trading showed Netflix around $99.37, down more than 3%, highlighting just how much pressure is building at this critical price level.
⬤ Netflix is now sitting right on top of a support band that held strong multiple times earlier this year. But this latest breakdown suggests something might be shifting in how traders view the stock as it edges closer to double digits. After months of moving sideways, Netflix rolled over hard starting in late October and has now fallen well below where it spent most of the summer trading.
⬤ This move matters because when a stock breaks through multi-month support, it often changes expectations and can ripple across other growth stocks. If Netflix stays below $100, it could fuel more defensive positioning and risk-off sentiment in the broader tech sector. Where it goes from here likely depends on whether it can find its footing around this zone.
Peter Smith
