Current trend

The shares of Meta Platforms Inc., an American multinational holding company that owns a technology conglomerate and the largest social network Facebook, are trading in a corrective trend around the 305.06 mark.

The corporation is actively increasing the audience of its social services and on the eve announced the launch of the Channels broadcasting service in 150 countries in the WhatsApp messenger, which will allow users to follow celebrities, opinion leaders and sports teams. WhatsApp channels have been successfully tested in Singapore and Colombia, and the company has decided to expand the list of countries of coverage.

Nevertheless, special attention is paid to the next trial. Thus, US Federal Judge William Orrick stated that Meta Platforms Inc. violated the medical secrecy of patients who were treated in medical institutions and at the same time used the Meta Pixel tracking tool. According to the judge, the company did not take enough steps to stop the transfer of customer data, which is the basis for a lawsuit. 

The financial report for Q3 will be published on November 1, and, according to preliminary forecasts, revenue may grow to 33.35B dollars from 32.0B dollars in Q2, and earnings per share are likely to be 3.56 dollars, which also exceeds 2.98 dollars a quarter earlier.  

Support and resistance

On the daily chart, the price continues to move in a global trend and is held below the support line of the ascending channel at 310.00.

Technical indicators hold the buy signal, reversing in the direction of growth: the fast EMAs of the alligator indicator move away from the signal line, and the AO histogram, being in the buy zone, forms ascending bars again. 

Support levels: 294.00, 275.00.

Resistance levels: 310.00, 326.00.

Trading tips

If the asset continues local growth and the price consolidates above the resistance level of 310.00, long positions will be relevant with a target at 326.00. Stop-loss – 300.00. Implementation time: 7 days and more.

In the case of continued decline in the asset, and if the price consolidates below the local support level at 294.00, short positions can be opened with a target at 275.00 and stop-loss at 300.00.