Can you feel it? Can you see it? Netflix Inc. (NFLX) is oh so close to an important upside breakout. Let's look closer at the charts and indicators.
In the daily Japanese candlestick chart of NFLX, below, we can see how the stock declined with the broader market from February into the middle of March. Prices have rebounded swiftly climbing above the 50-day and 200-day moving averages and pushing through most of the chart resistance in the $360-$390 area.
There is a "rule of thumb" that when a stock pushes through more than half of a resistance zone (or a support zone) it is likely to go all the way through. NFLX has pushed more than half way through.
The daily On-Balance-Volume (OBV) line has been quietly moving up from the middle of March to confirm and support the rally. The Moving Average Convergence Divergence (MACD) oscillator has crossed back above the zero line for an outright go long buy signal.