Is It Time To Buy Netflix Stock?

There’s a chance the selloff in Netflix, Inc. NFLX is about to end.

In financial markets, levels that have been resistance can turn into support and it could happen here. Levels around $510 were resistance at the end of April.

Investors who made sales then thought they made a good decision after the shares traded lower.

But on June 28, the shares broke through the resistance and went higher. Many of the investors who sold decided they made a mistake after this. A number of these remorseful sellers decided to buy their shares back if they can get them for their sell price.

This means there will be a large number of buy orders around the $510 level. If there are enough of them, it will form support. This could put a floor under the share price.