Can Facebook Recover From the Ad Boycott?
Fiona Cincotta June 30, 2020 9:34 AM
Facebook is fielding mounting criticism from a rising number of consumer companies over harmful content on its website. The stock sunk 10% on Friday although the sell off appears to have stabilised.
Facebook manged to claw back 2% in trading on Monday, after shedding 10% across the previous week. The stock is down marginally in pre trading today.
Facebook is fielding mounting criticism from a rising number of consumer companies over harmful content on its website.
The fact that the stock rallied 2% in the previous session shows just how resilient Facebook is and raises the question whether Facebook will be able to recover relatively quickly from this disruption?
The stock is set to open marginally lower on Tuesday -0.5%, which would still be outperforming the broader market.
The stock trades below the 50 sm on the 4-hour chart. However, it remains above its 200 asma and the 100 sma id offering immediate support at $217.00.
A breakthrough the 100 sma at $217.00 could see the stock attach support at 207, yesterday’s low, prior to the 200 sma and psychological level $200 - $198.00.
On the upside, should the 100 sma hold, Facebook could advance back towards the 50 sma at $230.00 and resistance at $237.00 (high 2th June).
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