The major indices rebounded sharply in Wednesday's regular session after U.S. futures plummeted in overnight trading, apparently transitioning from uncertainty about a potential Donald Trump victory to fully embracing the reality.
One smaller group of stocks that failed to participate in the rally, however, were the FANG members -- Facebook (FB) , Amazon (AMZN) , Netflix (NFLX) and Alphabet (GOOGL) , the former Google. The components of the acronym were all off their lows but down on the day, and their underperformance may be a negative for the sustainability of the post-election rally.
Facebook shares gapped lower in the beginning of the month, finding support in the $120 area, the level of the previous May highs and just above the 200-day moving average.
Moving average convergence/divergence and the relative strength index are tracking lower and below their center lines, reflecting early trend and momentum weakness. Chaikin money flow is well into negative territory, an indication that the stock is experiencing selling pressure.
Facebook is currently positioned above fortified support, and gaps tend to be filled, but if the 200-day average is broken, the next level of support is in the $108 area.