NFLX Update

I've already filled out a full size NFLX short position on what looks to be a large (volume confirmed) H&S top, the right shoulder to be exact which is a low risk, high probability entry area, my second favorite for the price pattern.

NFLX looks like the top of the right shoulder is mature with what appears to be the bounce we expected for last week, forming a rounding "Igloo with Chimney" top/reversal process.

 NFLX daily chart with the head and right shoulder (slanting neckline)...

Again I'm not going to post so many charts as to make the case for NFLX again as I have numerous times already, but as far as charts go and confirmation, it has been one of my favorite short positions for longer term trend-type trades.

The yellow arrows trace out the rounding "Igloo with Chimney", which is the bounce we expected to see in NFLX last week along with several other stocks.

The 60 min chart showing larger distribution at the head and right shoulder...

The 30 min chart with a leading negative divergence at the top of the right shoulder.

 The 15 min chart as well...

This is the bounce that we expected to see last week in NFLX, along with several other assets like AAPL, transports, etc.

I've already filled out the NFLX short position, but these "chimney" areas are better entries and lower risk as they tend to be a head fake move on the reversal process which typically happens just before the larger reversal process transitions.

THis is today's intraday (1 min) chart, I'd prefer to see a set-up around the $450 area, but this still looks to be an excellent overall area.

I'm setting a few alerts, but this is certainly an area in which I would also consider phasing in to a position, if better prices become available (around the $450 area with good distribution signals), I'd fill it out there.