NFLX Bull Trap Confirmed. Now What?

NFLX Revisited-- last Thursday (10/18), in my last chart post about the stock, this is what we discussed:

Fang Focus-- NFLX-- bottom line: if NFLX presses below 341.00 before turning up again, the pattern off of its post-EPS spike-high at 405.00 will argue that the stock put in a "good news, sell-the-news," Bull Trap high, and is heading due south across the its original June-Oct. coil formation, which will imply downside continuation towards 320 to 310 (if it presses beneath 341.00). As long as 341.00 support remains intact and viable, my pattern work will give the benefit of the doubt to another loop up to revisit 385 to 405... Last is 352.87-353.01

Fast-forward to today, and we see NFLX indeed, has continued due South, has sliced beneath 341 to a post-EPS low at 320.34, and points towards a full-fledged test of it prior pivot low at 315.81 from 10/11/18). We can confirm that NFLX up-spike to 405.00 in reaction to earnings on 10/16 proved to be a vicious Bull Trap secondary high, followed by an ugly downside reversal that is threatening to plow through critical support at 310-315, which if violated and sustained, will "lock in" a May-October top formation... Last is 237.62/75

10 22 18 NFLX 1150 GIF
10 22 18 NFLX 1150 GIF

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