Right Where You'd Expect Them to Swoop In

Netlix is in the news again this morning, amid a flurry of headlines about Citron Research covering its short in the name, a partnership to enter China, and some upgrade, downgrades, and the NFLX creating original full-length feature film content. 

With all of this in mind, it is good to keep things simple by observing the price action.

On the daily chart, below, updated, buyers swooped in right here you would expect them to, just under $100 and at the highlighted triangle support trendline. $100 has been a huge battleground for the leader since June, and I would expect bulls to fight valiantly until the end. 

The upside reversal is creating some excitement from longs intraday, but I suspect that a failed bounce here would be a good short entry, later this week. Put another way, longs likely need to build on this move or else it risks being a trap to clean out shorts and lure in excited longs, only to eventually lose $100 once and for all. 

As for the market at-large, there are some interesting dynamics and setups I will discuss for Members in my usual Midday Video.