META — 20 entries on this page, 0 of them a change of direction.
If Meta can get, you know, past that 750 level, I think he's going to be in a groove.
after CEO Mark Zuckerberg weighed in on the AI safety debate. In a post on Twitter act, Zuckerberg said AI labs have both a responsibility and a financial incentive to train models safely.
He argues that trust and alignment will become key competitive advantages.
Zuckerberg noted that Meta delayed its personal AI agent Muse for several months to strengthen safety and security. Meanwhile, the information is reporting that Meta could be gearing up to unveil camerafree smart glasses code name Luna at next week's connect conference.
The glasses would reportedly let users interact with Meta AI and Muse through microphones and speakers without the recording concerns with a built-in camera.
Looking at Meta today. This is a stock that I was looking to short today, but it didn't give me the volatility that I needed. That is okay. First up, what I was looking to play was this gap fill right here at about 688.
Price got to about 644 and came well in as we see here, but that's all right. We uh, we don't chase when our levels get missed. We got to stay disciplined and responsible.
Your last one here is Meta. And Don, I have to say I do appreciate whenever you try to throw a bullish trade in there for us because I know you are a resident bear and that is your default.
So, it's always fun for me when you have one. But how are you looking at at Meta? Because I'm going to I'm going to bet you're going against the hype here with this name.
Um other movers today, we had Meta Meta trying to break out. It did close above this descending trend line. Will it confirm the breakout today? If it confirms, you're probably looking at $690 to $700 as an upside near-term target with further upside.
I could even see this moving up as high as $750. There's a gap fill up here that has not been filled.
Just a few hours ago, Mark Zuckerberg, the CEO of Meta, just posted something that in my opinion showcases why he might be the leader in this AI story.
And I want to explain a little bit more in today's episode share three stocks that I believe can benefit from the strength of Meta.
Next up, we've got Meta. We've got two stocks on breakout watch, right? First, Meta. Big company here. Now, let's review uh the chart a little further back. Much like what we did with Amazon, highlighting this inclining parallel channel.
Now with Meta, you can see we've deviated from it several occasions. Now making a very valiant effort to get back inside that parallel channel. Most importantly, look on the near-term from this declining trend line that we've hit once, twice, three times.
This is the collective fourth hit with the 50/50 chance of breaking through. And guys, yesterday closed above today closed above yesterday's candle. Now, what you want to see, we're all still very, very close with this support area, but this has confirmed a breakout.
You want to see a little bit more of a push higher, potentially tagging this high pivot that you see on the chart back from July of this year, right around 686. That gives us some breathing room for any pullbacks down into what I call X marks the spot at 658 of being a buying opportunity for continued upward momentum.
The difficult thing facing Meta, uh, it's overbought, guys. So, we need some sort of continued push up, maybe even consolidation, work out that overbought scenario, and then give us our pullback so we can buy that for a returning continued breakout move.
But, none, it's it is the technical breakout on the charts. So, it is what it is. I just want to see a little bit more push before I feel comfortable buying that
So, Meta's been a choppy mess, right? If you go back and look at Meta, Meta hit an all-time high over a year ago. So, if you bought Meta last year over the summer, you're still down.
If you bought it um last February, you're still down. If you bought it last April, you're still down.
Meta Meta is at a pivotal level today. Look at this descending trend line from September of 2025 through this high in January 2026, July 2026 to this recent high just yesterday.
Are we going to break out here? Maybe. Am I shorting it here? No. I don't short after we hit a trend line too many times. One, two, three, four times. It's weakened the trend line.
It doesn't mean it's going to break out. What it means is it's more of a gamble. In other words, 50/50 chance.
And you so you look at Meta. Meta's up almost $20,000 here today.
Okay. Now, from there, Meta uh Meta is just I feel comfortable with the sizing of the Meta position. As I've told you guys many times, Meta is in what I would call, you know, it's stuck, right?
It's stuck between about 550 and 750. And so, it just kind of bounces in there. You know, if people are feeling real bearish, they'll push it down below that level. If they're feeling really, really bullish, they might push up.
But at the end of the day, Meta is not going anywhere in the very very short term just because the capex numbers are so out of control and people are still confused on if they're ever going to get this payback in regards to this capex spend.
Right? So Meta is just stuck longterm. It's a,000 to $2,000 stock. So do keep that in mind. Uh we just can't reach that level right now because we're stuck.
Meta will be one of, if not the top benefiting company from an overall coordinated AI slowdown.
The only company that's really spending on it as an indirect way of creating revenue is Meta. And the ways that Meta actually makes money from AI, their core business, that'll continue to monetize.
They can continue making improvements on that without the leading AI. Meta does not need to be on the bleeding edge to monetize their core assets directly.
Next up into Meta. Meta also trying to get a potential near-term breakout underway. Now let's rewind the clock to see and understand where we're at on this chart. We had Meta mainly contained in this inclining parallel since December of 2023.
We've had price break this range in March of this year and really tried to get back in, got rejected, tried to get back in, got rejected. Now we're making the third attempt to try to get back in and we are met with a lot of resistance derived from this declining trend line.
You see here on the chart back from September 18th connected over to major pivot here, the next major pivot uh back on July 15th. And you can see price over the last three days has moved up into that line and gotten rejected.
Moved up into that line, gotten rejected. Today so far has some staying power.
Next are cashrich mega caps. So, if rates go up, how will Apple, Meta, Google and Microsoft cope? They will be fine. They will be fine. Why? Because if you look at for example Meta and Google specifically especially right Meta and Google you may have read that oh they take they're taking on a lot of debt right to build their data centers.
So all this debt they have to pay interest on the debt correct but what they don't show you and what you need to check is that they have a lot of cash and equivalents where it's earning interest income and the interest income they earn offsets the interest expense that they pay.
So net net what happens if interest rates go up they're like me whatever. Okay. So, rates go up, companies like Apple, Meta, uh Microsoft, and Google, uh they'll be fine, you know, because they don't have much net interest expense on their debt.
Okay? So, I hold a lot of them and I I'm pretty comfortable.
Like right now at an at the money sold put on Meta, uh you could get about an 8% yield backing into one of these sold puts. You're basically buying it for like 598 bucks if you get assigned.
And I've been a big fan of arguing that companies even like Meta are going to benefit from these LLMs plowing money into advertising.
So, the first trade setup we're talking about is Meta. And as we know with downsloping trendlines, what do they mean? Well, it just generally means that the stock has been in a down and consistent downtrend.
Now, attacking this upper trendline, should it pierce, break above, and confirm, guys, it certainly favors a move higher up to, you know, maybe the next resistance level here on $750, 77744, and then potentially towards double top around 800 bucks. But it all starts with this trend line.
Meta has finally gotten out of the uh I would say rain clouds when it comes to all the, you know, uh regulatory pressure. Some of these settlements are behind them now. Muse Spark 3 is performing extremely well.
I love where Zuckerberg has the company directionally headed with open source and performance there.
And this is the one. This is my sleeper. Meta. 32 lawmakers. Just letting you know Microsoft is almost twice Meta.
It's the second worst out of all of them behind meta. Meta's down 1%. Minus 1% Meta. I do like this one. I just added some to my own portfolio.
The same mega caps Congress owns. Microsoft, Amazon, Meta, Netflix, Oracle, and AMD each appear in 17 to 22 separate transactions.
Met is 23% below.
Like Meta at $610 per share roughly as I'm making this video, $1.56 trillion market cap. So Meta share price is about 15 times I ren. But Meta Company is actually 95 times bigger.
So, this is why people say meta stock is expensive just because the share price is expensive, which honestly doesn't make any sense.
Uh, Meta, who I also bought on a big dip. Um, and I just think that that one has, uh, one of the best kind of valuations among big tech. I I have high hopes for Meta long term.
Now, Meta is not in the tech sector, by the way. It is actually in the communication sector, but that doesn't change anything. The communication sector is also trending down hard on the number of stocks with uh fear showing up.
In fact, it's it's going down really hard. And then the number of buy signals has been falling off a cliff down here. That's not good at all. So that's this sector. It's not even the tech sector. It's a different sector.
