FB is in a Precarious Technical Position Ahead of Earnings
By
Mike Paulenoff
FAANG Focus: FB-- one look at my attached Weekly Chart should leave little doubt that tomorrow eve's (10/30/18) Earnings Report-- and investor reaction- has the potential to make or break (literally) the dominant uptrend in FB off of its 2012 low from the vicinity of 17.55!
As we speak, FB is probing its dominant up trenldine at 144, and probably will hold that level into tomorrow night's report, when the reaction of investors will trigger a violent move either to the upside towards 165-175 or to the downside towards 115-110.
In that the weakness in FB off of its 219.00 all-time high hit on 7/25/18 in the aftermath of its prior earnings report has been confirmed by my Weekly Momentum indicators, my bias is for EITHER a knee-jerk upside pop followed by a vicious sell-the-news downside reversal, OR a negative reaction from the get-go, followed by a down-spike to 115-110. Last is 143.93/97
