Meta Platforms Inc. (NASDAQ:FB) shares were trading slightly lower Monday as several companies in the broad technology sector fall amid a rise in bond yields, weighing on growth stock valuations. The U.S. 10-year Treasury yield has risen from around the 1.49% level on Dec. 31 to around 1.8% during today’s session.
Meta was down 1.13% at $328.04 at time of publication.
See Also: Why Meta Platforms, Snap, Block And PayPal Shares Are Falling Today
Meta Daily Chart Analysis
- Shares look to be bouncing off the higher low trendline in what traders call an ascending triangle pattern. The ascending triangle pattern is nearing the end of the pattern and resistance is shown to be near the $380 level.
- The stock trades below both the 50-day moving average (green) and the 200-day moving average (blue). This indicates bearish sentiment, and each of these moving averages may hold as an area of resistance in the future.
- The Relative Strength Index (RSI) has been trading sideways for the past few months and now sits at 44. This shows that the current buying pressure is slightly less than the selling pressure. The indicator has been moving above and below the middle line meaning the buying pressure and selling pressure have been relatively equal throughout the past few months.
What’s Next For Meta?
Meta looks to be getting a bounce off the higher low trendline and is nearing the end of the pattern. If able to break above resistance. the stock may see a further stronger push higher. This is what bulls are looking for with a slight period of consolidation above the $380 level.
Bears are looking to see the price fall below the higher low trendline and be able to hold the level as resistance. Crossing below this trendline and holding below the moving averages could cause the stock to begin a long-term downtrend.