Name Needs To “Chill”:

As we continue to look at a bunch of the top holdings in the QQQ we come away with the view that a well-deserved rest is the optimal scenario. On the QQQ itself, the bearish dark cloud cover candle still looms large from 6/16, and the break above a bull flag on 6/30 to end Q2 is not really going anywhere. And that is a bit questionable behavior as we know the best breakouts tend to work right away and power higher. Below we take a look at the daily chart of NFLX and the last 4 days of this week displayed fatiguing-like candlesticks. And this is also trading into the bearish engulfing candle at the very round 450 number from 6/16. It has recorded a very energetic move of 177% from the lows on its WEEKLY chart from the bullish hammer candle the week ending 5/13/22 to current PRICES (it was a very precipitous move lower from the WEEKLY doji candle from the week ending 11/19/21 at the precise very round 700 number). This name could fall 10% and still have its uptrend intact.

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