It's been a rough year for Netflix (NFLX) in 2012 -- shares of the video content firm have dropped almost 36% in the last six months. But NFLX could finally be finding a bottom. Here's how to trade it.
The bottoming setup in play here is the exact same one that shoved Bank of America 14% higher at the end of the summer: the double bottom. Netflix made two swing bottoms around $55, separated by a swing high at $65. That $65 level was the breakout level for NFLX, and it triggered last week. Since then, shares of the firm have been consolidating sideways as investors weigh their options on where to go from here.
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