Since the middle of September 2013, LinkedIn's stock price has trended downward based on the prediction of a decelerating growth rate due to the market saturation in North America and Europe.
One month ago, the price has rebounded from the support line (191.70) which coincides with the blue trend line marked by previous peaks and troughs. These lines also coincide with the midpoint of Fibonacci retracement drawn from the major breakout point on February 2013 to 52-week high price point on September 2013. As a result, these lines together form a strong support level.
Prior to the rebound, the volume peaked, suggesting the complete exit of pessimists. This event is followed by a consolidation above the support line accompanied by reductions in volumes. Furthermore, CCI reversed from the distribution trend and is heading upward.
From a fundamental standpoint, I agree with the saturation in the regions, however, I believe the international expansion will accelerate to keep the momentum.
One month ago, the price has rebounded from the support line (191.70) which coincides with the blue trend line marked by previous peaks and troughs. These lines also coincide with the midpoint of Fibonacci retracement drawn from the major breakout point on February 2013 to 52-week high price point on September 2013. As a result, these lines together form a strong support level.
Prior to the rebound, the volume peaked, suggesting the complete exit of pessimists. This event is followed by a consolidation above the support line accompanied by reductions in volumes. Furthermore, CCI reversed from the distribution trend and is heading upward.
From a fundamental standpoint, I agree with the saturation in the regions, however, I believe the international expansion will accelerate to keep the momentum.