NFLX to gap up HUGE today

NFLX looks like it is going to gap up by $50 or more on the open today. I kind of hate when they gap by that much since I am never sure what the stock is going to do after open---rocket higher, drop like a stone as people take profits, or just go flat. How do you play something like this?

NFLX is earnings related. You need to watch the money flow and 21 chart. It might be a peak play then again it could go sideways. Seeking Alpha says it will drop like a rock but never take anything like that as 100%. Worth watching but don't move till you see the whites of their eyes!

*ADD. Looked at my daily chart and move p was the space of a gap and a half. Now I am wondering will it move up another gap or half gap. I wll be watching for an up move.



Edited 1 time(s). Last edit at 01/24/2014 12:17PM by Darcy2.

Usually I won't look for a play immediately after earnings like the open right after it is announced. I will see the earnings history for the past 3-4 years for that quarter and see how the stock has behaved in the past. Usually, when a stock beats probabilities lean towards a drift higher. You can google it "PEAD" - Post earnings announcement drift. Again, if you want to follow GW's method this is really not necessary to know.