Social networking giant Facebook reported 45% higher revenue compared to last year. facebook stock analysis for short term trading shows more rally is still behind. The stock has to go more in the short run.
After the listing dip, the stock moves higher and higher punishing the short seller every time. Facebook is a low Beta stock with a Beta value of 0.70. Which means the stock has less volatility on the downside. So one can keep investing in this stock for long term. Institutional investors hold 72% of the companies free float shares.
Facebook Stock Analysis:
Fundamental analysis shows were to invest and technical analysis shows when to invest. Facebook stock had a minor correction from $175 to $165. After the correction, the stock has broken the falling trend line. The Facebook stock has trend line support around $169. There is no major resistance for Facebook stock. It has a minor hurdle at $175.35.
If the Facebook stock breaks $175.35 comfortably then next target for the stock is $197. Other than long term investors must keep a strict stop loss of $169. Long term investors can accumulate the stock at every 5% correction.