Saad Ullah
Netflix stock doesn't move quietly when the bulls show up. After weeks of sideways drift and lingering doubts, NFLX has surged roughly 25% in a single trading week, drawing attention from traders who have been waiting for a clear directional signal. The catalyst? A $2.8 billion capital inflow that, notably, exceeded the company's total net profit from its most recent quarterly results. That kind of money moving into a single name tends to change the conversation fast.
$2.8B Inflow and a 25% Weekly Gain: What's Driving NFLX Higher
The move off the lows near $75 has been sharp and fairly convincing from a technical standpoint. Chart patterns point to higher lows building up over recent weeks, and short squeeze dynamics may be adding fuel to the rally. Analysts following the setup have pointed to Netflix's stage transition and prior 40% gains as context for understanding how quickly sentiment can flip in this name. Based on Fibonacci extension levels and projected momentum paths, $129 has been identified as a minimum downside break target for a continued move higher, provided the stock clears near-term resistance.
Technical patterns and capital events rarely align this cleanly, which is exactly why the $129 target deserves serious attention right now.
It's also worth remembering where this stock was not long ago. Netflix spent an extended stretch pressing toward new lows in a Stage 4 downtrend, and before the recent recovery, NFLX fell 18% below its 200-day moving average, the widest gap seen in over three years. That context matters. Rebounds from that kind of extended weakness don't always stick, which is why the combination of fresh capital and improving technicals is being watched closely.
Can the Rally Hold? Key Levels and What Traders Are Watching
Beyond the price action, there are real business fundamentals lending some support. Subscriber growth is trending in the right direction, and monetization strategies including ad-supported tiers and password-sharing crackdowns continue to improve the revenue picture. These aren't overnight fixes, but they give the rally a more durable foundation than pure speculation.
What happens next depends largely on whether NFLX can hold above its key short-term resistance levels and whether broader tech sentiment stays supportive. For now, the stock's recovery from deeply discounted levels and the capital rotation back into large-cap growth names suggest traders are positioning for more upside. The $129 level is the one to watch.
Saad Ullah
