Collins call on NFLX

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Cozy Up to Netflix
by Sam Collins 01/04/10
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Netflix (NFLX) -- This provider of online movie rental subscription services in the United States has been in a bull market since November 2008, when it double-bottomed below $19.

Since then, the stock broke through a double-top in January 2009, which launched it not only to a new high, but confirmed a long-term triple-top breakout.

Recent profit-taking has pulled it back from the high of $61.65, but any weakness should be viewed as a buying opportunity.

Investors may wish to take a half position now, and then a full position if NFLX pulls back below $50.

The target for traders is $67, but long-term investors could see much higher prices.