[13 July 2024]
Today, Saturday 13 July 2024, StockCharts365.com has taken a closer look at one of the world's largest companies, Meta Platforms Inc. (ticker on Nasdaq: META), and as you know, the company was previously called Facebook Inc.
The share has increased fivefold in the past two years, but now the technical picture for the share signals that a major downward correction (25-40%) may come for the share in the next 3-6 months.
Read more about this below here under the technical analysis here today of the META share.
First a little about the company Meta Platforms Inc. (ticker on Nasdaq: META)
Meta Platforms, Inc., formerly Facebook, Inc., is an American company headquartered in Menlo Park, California. The company owns the social networks Facebook, Instagram and WhatsApp.
Mark Zuckerberg founded the company on 4 February 2007 to further develop the social network of the same name, Facebook. The company Facebook, Inc. is led by Zuckerberg himself, Chris Cox (Vice President), Sheryl Sandberg and Donald E. Graham. The company was introduced on the stock exchange on 18 May 2012.
Meta Platforms, Inc. builds technology that helps people connect and share, find communities, and grow businesses.
The Company’s products enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality (VR) and mixed reality (MR) headsets, and wearables.
It operates through two segments: Family of Apps (FoA) and Reality Labs (RL). The FoA segment includes Facebook, Instagram, Messenger, Threads and WhatsApp. The RL includes augmented, mixed and virtual reality related consumer hardware, software, and content. Instagram is a place where people and creators can connect and express themselves through photos, video, and private messaging, and discover and shop from their favorite businesses.
Threads is an application for text-based updates and public conversations. Its RL product offerings in VR include Meta Quest devices, and software and content available through the Meta Quest Store, which enable a range of social experiences.
Read more about the company on their website here:
Technical Analysis of Meta Platforms Inc. (ticker on Nasdaq: META)
Technical Analysis of Meta Platforms Inc. (ticker on Nasdaq: META):
In the last week now in the weekly chart, the meta share has triggered a technical sell signal from a marked Bearish Engulfing in the Candlestick weekly chart.
There has also been a break down through the lower trend line some time ago in the steeply rising trend that started in autumn 2022.
The share has increased fivefold in just under two years, and now the peak may have been reached, at least for a while and as the technical picture now signals for the share.
Various momentum indicators such as MACD, Stochastics and RSI (on a weekly basis) all signal that the share is now probably facing a major downward correction in the next 3-6 months.
First important technical support level will be around USD 380.00 and then next important technical support level is around USD 300.00.
The stock ended Friday 12. July 2024 at around USD 499.00.
It could thus be headed for a major and strong downward correction for the Meta share during the next 3-6 months, and then preferably down to between USD 300.00 - 380.00.
Such bearish engulfing sales signals, and as we see here and in the weekly chart, which now for the Meta share give a fairly clear signal that a major correction is on the way.
So no one should be very surprised if Meta stock undergoes a sharp correction from today's USD 499.00 down to around USD 300.00 - 380.00 in the next 3-6 months.
So there could be a major correction of between 25-40% for the META share over the next 3-6 months.
At least that is what the technical picture for the share now indicates about the future development in the short and medium term now for the META share.
NB! Remember to have read and understood the disclaimer.
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