Followers | 686 |
Posts | 142953 |
Boards Moderated | 35 |
Alias Born | 03/10/2004 |
![](https://investorshub.advfn.com/uicon/35728.png?cb=1539773763)
Friday, April 26, 2024 11:06:49 PM
By: Erin Swenlin | April 26, 2024
Whenever we see price gapping up or down, as happened with META in February, we prepare for the possibility of an island reversal. After the gap up, price forms a cluster, the island, and we ponder the possibility of a gap down to complete the reversal. During the formation of META's island, news coverage was very positive, but yesterday's earnings report made investors unhappy, and META really took a dive, jumping down across the gap.
While some might have been surprised by the final resolution, the chart gave ample clues, as there were negative divergences on both the PMO (price) and OBV (volume).
![](http://d.stockcharts.com/img/articles/2024/04/25/77c378c9-666e-4b66-a961-8129f512fa41.jpg)
There was also a PMO negative divergence on the weekly chart.
![](http://d.stockcharts.com/img/articles/2024/04/25/a729cc3f-158a-45d1-8010-96c3db633b59.jpg)
Island reversals can happen to the downside as well as the upside.
However, we have two more island formations to monitor in the intermediate term. Neither appears that dangerous, as the clues we had on META are not visible on Amazon (AMZN) and NVIDIA (NVDA)...
* * *
Conclusion: META experienced a reverse island execution on earnings. Now we watch and wait to see what AMZN will do going into earnings as it is vulnerable to a gap down. NVDA doesn't report again until next month and thus is not as vulnerable to a reverse island decline.
Read Full Story »»»
![](http://studentaid.gov/universal-navigation/assets/us_flag_small.png)
Information posted to this board is not meant to suggest any specific action, but to point out the technical signs that can help our readers make their own specific decisions. Caveat emptor!
• DiscoverGold
Recent META News
- Alphabet Unveils AlphaProof and AlphaGeometry 2; OpenAI Tests SearchGPT; Apple Loses Market Share in China • IH Market News • 07/26/2024 10:07:41 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/25/2024 10:10:50 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 07/25/2024 08:01:35 PM
- U.S. Stocks May See Further Downside In Early Trading • IH Market News • 07/25/2024 01:05:29 PM
- NBA Signs $77 Billion Broadcast Deal, CrowdStrike Criticized for Insufficient Reward, Honda Shuts Down Chinese Factory • IH Market News • 07/25/2024 10:15:46 AM
- Meta Unveils Llama 3 AI Model, Elon Musk’s X Poll Backs Tesla’s $5B xAI Investment, and More • IH Market News • 07/24/2024 09:53:32 AM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 07/23/2024 08:06:08 PM
- U.S. Index Futures Dip Slightly as Investors Await Major Earnings Reports, Oil Prices Edge Up • IH Market News • 07/23/2024 10:04:07 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/22/2024 10:05:22 PM
- Berkshire Sells BofA Holdings, Ryanair Shares Drop 12%, Delta Still Struggling After IT Disruption • IH Market News • 07/22/2024 09:44:17 AM
- Microsoft Shares Drop 2% and CrowdStrike Plunges 21% Pre-Market Following Major Global Outage • IH Market News • 07/19/2024 10:01:22 AM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 07/18/2024 08:05:00 PM
- Nasdaq Tech Stocks Show Partial Recovery; Oil Prices Rise • IH Market News • 07/18/2024 10:01:11 AM
- Darden Acquires Chuy’s for $605M, BYND Drops 14% Amid Debt Restructuring, Petco Appoints Ex-Five Below CEO • IH Market News • 07/18/2024 09:59:44 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/18/2024 12:40:22 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/18/2024 12:37:45 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/17/2024 11:10:42 PM
- U.S. Stocks Close On Mixed Note; Dow Rises To New High, Nasdaq Tumbles • IH Market News • 07/17/2024 08:41:00 PM
- HSBC Names New CEO, Tesla Moves Headquarters to Texas, ASML Faces Trade Restrictions, GitLab Considers Sale • IH Market News • 07/17/2024 10:26:41 AM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 07/16/2024 08:05:38 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/15/2024 10:11:16 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/15/2024 10:07:27 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/15/2024 10:05:06 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 07/15/2024 10:03:18 PM
Glidelogic Corp. Announces Revolutionary AI-Generated Content Copyright Protection Solution • GDLG • Jul 26, 2024 12:30 PM
Southern Silver Files NI43-101 Technical Report for its Updated Preliminary Economic Assessment for the Cerro Las Minitas Project • SSV • Jul 25, 2024 8:00 AM
Greenlite Ventures Completes Agreement with No Limit Technology • GRNL • Jul 19, 2024 10:00 AM
VAYK Expects Revenue from First Airbnb Property Starting from August • VAYK • Jul 18, 2024 9:00 AM
North Bay Resources Acquires Mt. Vernon Gold Mine, Sierra County, California, with Assays up to 4.8 oz. Au per Ton • NBRI • Jul 18, 2024 9:00 AM
Nightfood Holdings Signs Letter of Intent for All-Stock Acquisition of CarryOutSupplies.com • NGTF • Jul 17, 2024 1:00 PM