NEW YORK (TheStreet) -- It's been 14 years since the Internet bubble popped in the first quarter of 2000. Some say the markets make the same mistakes over and over again. It appears 2014 is starting to resemble the patterns of 2000.
In my first post of 2014, Stocks Begin 2014 With Inflating Bubbles I predicted the major equity averages would decline to their 200-day simple moving averages at some point in 2014. Five out of six Internet stocks I profile here traded at or below their 200-day SMAs after setting new all time highs in the first quarter.
We crunched the numbers to help you decide if and when to invest. Here are the six profiles, and today's "Crunching the Numbers" tables follow.
Amazon.com (AMZN) ($317.76) is down 22.1% since setting its all-time intraday high at $408.06 on Jan. 22. The stock first tested its 200-day SMA at $340.20 on March 27 and traded as low as $313.13. The weekly chart is negative with its five-week MMA at $346.71. An annual value level is $259.67 with an annual pivot at $334.95, which has an 85% chance of being retested at some point in 2014.Facebook (FB) ($56.95) is down 21.5% since setting its all-time intraday high at $72.59 on March 11. The stock is still above its 200-day SMA at $49.53 which is the downside risk as I do not show a value level at this time. As a recent IPO we do not have enough price history to have quarterly, semiannual and annual levels in our proprietary analytics. The weekly chart is negative with its five-week MMA at $61.57 which is the first upside given an oversold condition on its daily chart. Netflix (NFLX) ($338.00) is down 26.2% since setting its all-time intraday high at $458.00 on March 6. Bulls on the stock had an opportunity to buy the stock at its 200-day SMA at $333.85 on Monday as the stock slipped to as low as $331.11 staying above our quarterly and semiannual value levels at $328.81 and $328.21. The weekly chart is negative with the five-week MMA at $380.17. Netease (NTES) ($64.70) is down 23.3% since setting its all-time intraday high at $84.35 on Jan. 9. The stock set its 2014 intraday low at $62.92 on March 20 then rebounded to a failed test of its 200-day SMA at $69.73 on March 31 through April 2. The weekly chart is negative but oversold with the five-week MMA at $67.73. Weekly and semiannual value levels are $63.09 and $62.28 with quarterly and semiannual risky levels at $66.63 and $68.95. Above is a monthly risky level at $78.51. Pandora (P) ($26.99) is down 33.3% since setting its all-time intraday high at $40.44 on March 5. The stock closed Monday just below its 200-day SMA at $27.13 trading as low as $25.83 but opened above the 200-day this morning as the daily chart is oversold. The weekly chart is negative with its five-week MMA at $31.62. As a recent IPO we do not have enough price history to have quarterly, semiannual and annual levels in our proprietary analytics. Our quarterly pivot at $28.89 should be a magnet.
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