WBD, NFLX and AMZN Forecast – Media Acquisition in Focus

WBD Technical Analysis

Warner Bros. Discovery is strong in pre-market trading as it is in negotiations with Netflix to sell some of its studio properties. HBO Max and its studios are being thought of as being sold for 72 billion or $27.75 a share. So, in other words, it should continue to see a bit of bullish pressure due to the unlocked value. Short-term pullbacks, if you get them, should be buying opportunities.

NFLX Technical Analysis

Netflix looks like it is drifting a little bit lower, but that would make sense considering that it is in a downtrend anyway over the last several weeks. And of course, an outlay of $72 billion does take cash off the balance sheet. Does this end up being a longer-term negative? I doubt it. I think it actually makes quite a bit of sense, considering that Netflix has been producing its own material for a while.

So it just makes sense that this move happens. And at the end of the day, this should end up being a buying opportunity with Netflix recently splitting its shares. But now we find ourselves near the $100 level in pre-market trading. So that could come into play as well from the psychological standpoint.

AMZN Technical Analysis

Amazon looks like it is going to be right about where it was when it closed. Pre-market trading’s up by about 20 cents or so, as we’re hanging around the 50-day EMA. Amazon should be making a lot of money this time of year. And I think a lot of people are probably going to give it the benefit of the doubt. I think if we rally from here, the $240 level is a significant amount of resistance. But if we can break there, then I think that Amazon goes looking to the $260 level.

Short-term pullbacks at this point in time should continue to see support near the 200-day EMA and then again at the $210 level. So, I think there are plenty of buying on the dip opportunities just waiting to happen in Amazon.

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