Wednesday 12 September 2012

FB - the Zuckerberg effect

Facebook (FB) had a very strong day, closing higher by around 7.5%, and is clearly higher after the appearance of the CEO.  Much of the rise is doubtless due to some traders chasing the stock higher, and also a lot of short-stops getting triggered.

Considering the HUGE amount of shares still to be dumped this November, FB remains extremely vulnerable to a further signficant wave lower across the next few months.


FB, daily


Summary

Primary trend remains down..holding to all targets.

Seeking at least $15 near term, if not 12/10 by late November.
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Good company, - if only a 'website', but nothing justifies even the current P/E valuation.

..and that again, reminds me of AMZN.