Facebook: It will be concrete! – financial trends

RSI signal worries investors

The Relative Strength Index (RSI), an indicator from technical analysis, can be used to determine whether a security is “overbought” or “oversold”. For this purpose, the upward and downward movements of an underlying asset are related over time. Let’s look at the RSI for the last 7 days for the Facebook shares, the value is currently 76.91. As a result, the security is overbought and we are therefore assigning a “sell” rating. The RSI of the last 25 trading days is less volatile than the RSI7 and complements our analysis with a longer-term view. In contrast to the RSI of the last 7 trading days, Facebook is neither overbought nor oversold on this basis. The different valuation of the stock for the 25-day RSI is therefore a “hold” rating. Overall, the analysis of the RSIs on Facebook thus provides a “sell” rating.

Facebook depends on the market

Compared to the average annual performance of stocks from the same sector (“telecommunications services”), Facebook is more than 25 percent higher with a return of 29.97 percent. The “” industry has an average return over the past 12 months of 5.65 percent. Here, too, Facebook is significantly higher with 24.32 percent. This very good development of the share in the past year led to a “buy” rating in this category.

Should Investors Sell Right Now? Or is it worth joining Facebook?

Analysts see Facebook positively

In the past twelve months, analysts from research departments gave Facebook shares the following ratings: 41 buy, 4 hold and 1 sell ratings. From this we derive a “buy” for the long-term classification. The analysts who recently gave a rating for the share also see it this way – the average recommendation for Facebook from last month is also “Buy” (1 Buy, 0 Hold, 0 Sell). The target price for the share of Facebook averages again at USD 293.12. Since the last closing price was USD 268.11, this results in an expected price development of 9.33 percent. This is linked to the “Buy” rating. Thus, the assessment of the analysts for the share of Facebook results in the overall assessment “Buy”.

The price is quoted above important brands

From the last 200 trading days, the average closing price for the Facebook share was USD 244.86. The closing price on the last trading day was USD 268.11 (+9.5 percent difference) and we are therefore assigning a “buy” rating from a technical chart point of view. In addition to the 200-day average, the 50-day average is also often analyzed using the chart technique. For this value ($ 276.75), the last closing price is close to the moving average (-3.12 percent). In this case, the result is a different rating of the Facebook share, namely a “hold” rating. Overall, Facebook receives a “Buy” rating for the simple chart technique.

Buy, hold or sell Facebook?

How will Facebook develop now? Is your money safe in this stock? The answers to these questions and why you need to act now can be found in the latest analysis of the Facebook share.

Facebook: Buy or Sell? Read more here …