Formerly known as Facebook, shares of Meta (MVRS) – Get Meta Report have been trading better lately, with the stock up almost 1%.
That doesn’t seem like much, but with the Nasdaq and S&P 500 slightly lower on the day, bulls are enjoying the mild outperformance.
Meta stock is now working on its third straight daily rally and at today’s high, the stock was up almost 7% during the recent winning streak.
Further, the stock is working on its fourth straight weekly gain.
Amid that stretch, shares are up about 5% over the past month, besting Snap (SNAP) – Get Snap, Inc. Class A Report, Pinterest (PINS) – Get Pinterest, Inc. Class A Report and Twitter (TWTR) – Get Twitter, Inc. Report, all of which are lower over the past four weeks.
In fact, Meta is the best performing stock of the bunch over the last three-, six- and 12-month measures.
Americans are leery of Facebook, but that hasn’t stopped the platform from growing.
Further, investors want the company to shake up the board, but that hasn’t stopped the stock from rising.
Trading Meta Stock
When it comes to FAANG — or is it MAANG now? — Meta stock is very much in the middle of the pack.
Up about 30% so far this year, the stock lags Apple (AAPL) – Get Apple Inc. Report and Alphabet (GOOGL) – Get Alphabet Inc. Class A Report, although it’s ahead of Netflix (NFLX) – Get Netflix, Inc. Report and Amazon (AMZN) – Get Amazon.com, Inc. Report.
Shares were buried earlier this month, but were able to bottom near $300. Since then, the stock has reclaimed all of its major daily moving averages and is now trying to rotate higher once again.
However, not only has the $350 area been a resistance zone for Meta stock this quarter, but it’s also near where it finds the 61.8% retracement and the November high.
These measures come into play between $352 and $354.
You can see on the daily chart how the stock tested into this zone and is so far being rejected.
If Meta stock can push through $354, it will give bulls a monthly-up rotation. If it can’t do so this week, it sets the stock up for a potential two-times monthly-up rotation in January by clearing the same level (and thus, both the November and December highs).
In that scenario, I could see a push up to $375 to $380 being in the cards.
On the downside, let’s see if the 200-day moving average can hold as support. On a move below all of its major moving averages and $325 is back in play.