The year seems to be ending on a lackluster note, but there may be a play nonetheless in NFLX, which has been in the throes of a correction for the last three weeks. Notice that the ‘D’ target of the retracement lies, so to speak, in the middle of nowhere. There are no lows to the left of it that might attract the buying interest of the hoi-polloi, and so I’ll recommend bottom-fishing via a 112.26 bid, stop 112.18. This is cutting it pretty close, but you can loosen up a little if you use options instead of stock. Stick to near-the-money calls expiring either this Thursday or on January 8. Remember, we expect the calls to be trading in-the-black within 30 minutes of our purchase, so don’t hesitate to take a partial profit right away if one is available. Ideally, it will be sufficient to effectively zero out the risk that remains._______ UPDATE (7:42 p.m.): The stock opened higher on a gap, stranding our niggardly bid. The rally was bullishly impulsive, and I would therefore suggest using the ‘camouflage’-y pattern shown to get aboard if the set-up continues to develop.
