Netflix (NFLX) Stock is the ‘Chart of the Day’
NEW YORK (TheStreet) -- Netflix (NFLX) - Get Report stock is advancing by 2.49% to $120.01 in midday trading on Wednesday, continuing gains from earlier this week following several positive reports.
On Monday, a report estimated the company added 2.5 million subscribers in Australia from March to June, according to a survey by the Australian Communications and Media Authority.
The video streaming service launched last March in Australia, where 78% of subscription video on demand users watched videos on Netflix Australia during the first six months of the year.
Netflix is also expected to benefit from a boost in mobile data traffic forecasted by Ericsson (ERIC) on Tuesday.
Video is expected to account for 70% of mobile traffic by 2021, with Netflix's share reaching about 20%.
By the end of the 2015 third quarter, Los Gatos, CA-based Netflix had more than 69 million subscribers worldwide.
TheStreet's Chris Versace and Bob Lang of Trifecta Stocks have identified Netflix as the "Chart of the Day." Here's what they had to say about the company:
The high beta (riskier) names have been pulling in their horns, ready for a big charge forward -- and Netflix has been at the head of the pack. Up strong for the year, this stock has defied the naysayers, and although it missed on the recent earnings report, its potential for revenue subscription growth is substantial.
The chart shows a huge turn upward Monday on very good turnover. Overall, the stock is exhibiting tremendous relative strength. Resistance is up ahead at $115 or so, and while we may hit a wall, some follow-through over the next couple of days will provide us with more confidence that the stock will go higher -- maybe even up towards all-time highs by year-end.
The moving average convergence divergence (MACD) was ready to turn downward, but it may be on a renewed buy signal. The turnover at the $115 area (arrows) shows where the sellers reside, but another big push may very well get us over that resistance.
Watch this video for further analysis on NFLX.
Chris Versace and Bob Lang's "Chart of the Week: NFLX" was originally published on 11/18/15 on Trifecta Stocks.
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