Thursday, 26 January 2012

US Stock/ Options Tip - Netflix (NFLX) back from Dead with marvellous earnings!

Dear Friends,

NETFLIX (NFLX) the once darling of Wallstreet, which rises from $50 to $300 within 2 years. However because of an incorrect decision to increase rental of DVD subscription which leads to 2 quarters missing its Earnings estimates, it came tumbling down to $60 in 7 short months. Pls see the chart on where the Letter "E" is. They are the earnings day. See the Gap Down??

This is what I discovered trading US stock. For a strong growth stock like Netflix, normally after 2 quarters miss, it has a HIGH chance of beating the 3rd. This is what I termed "3rd time Lucky" stock. Recently I posted a stock TIP on Goldman Sachs. It suffered the same fate after missing 2 consecutive earnings estimates.

For Netflix, this stock is back from the dead. We can play this stock again and again this quarter after it breakout or when it is at the bottom of the box. Today it gaps up. Might open at $107. After consolidating, it will continue its ascent to $125. Remember to sell at $123 if it reaches this target! For options players, you may also  play straight call ITM options again and again upon breakout!

For the earnings report, pls check this website:


·         美国联储局都不看好美国经济? 道琼斯昨晚闭市在 22412 点,涨了 41 点。 昨晚最大的新闻就是联储局的会议。联储局的主席耶伦讲了几样事情: 1)   第一: 联储局保持利率不变 , 但耶伦也表示今年还会加息一次。 这其实和原本的预测一样...