Chart of the Day - Wednesday, April 20th, 2022

Today’s Chart of the Day was shared by @bostonchaahts. It's a weekly line chart of Netflix ($NFLX) since its IPO, 20 years ago. Netflix just lost more than a third of its value after reporting earnings last night, closing at its lowest since January 2018. At this point, it's down more than 67% from its all-time high in less than six months. Interestingly, this is the sixth drawdown of 50% or more in its history. As you can see the stock is still in a long-term uptrend, up more than 18,000% since its IPO. However, it's been in an intermediate-term downtrend for the majority of this year. While it may be tempting to "buy the dip" on this beaten-down household name, Boston points out that Netflix could easily fall below $200 before finding any meaningful long-term support.