Facebook Stock Price: FB shares rally non-stop after Trump's TikTok action, Hong Kong sanctions

Facebook (NASDAQ:FB) shares have risen over 5% to hit an all-time high.
The move comes after the social media giant launches a competitor to TikTok.
American sanctions against Hong Leader Carrie Lam also have a positive impact on the social network's shares.

FXStreet Team FXStreet

Update: Facebook Inc. is trading around $273 on Friday, up some 3%. Mark Zuckerberg's social network behemoth is gradually approaching the $1 trillion valuation mark. In addition to the action against TikTok, the US is slapping sanctions against Hong Kong leader Carrie Lam and other officials. That adds to Sino-American decoupling fears which are benefitting NASDAQ: FB.

Facebook news today

Facebook (NASDAQ:FB) shares have rocketed on Thursday moving over 6% higher. The move comes after the firm launched Reels is a short-form video feature that allows Instagram users to make short videos with a musical background and add augmented reality effects. This could be great news as the US and other world governments are looking to blacklist the Chinese social media firm (TikTok) due to espionage fears. The app was launched in Brazil in November 2019 but yesterday the company rolled out the new product on Wednesday in the US. TikTok claims to have around 100 million users in the US and if Facebook manages to capture some of that market it would be great for their brand. Microsoft are looking to buy the US arm of TikTok so there could be some weakness if that deal gets confirmed but for now, the only way is up.

Facebook daily chart

Looking at the chart. the price has accelerated above the technical trendline to hit an all-time high. Interestingly the price broke the trendline after the earnings update on 31st July but moved back below. The price then used the trendline as a support zone to hold above the 250 area.

There were some other bullish technical signals too, The Relative Strength Index also had a trendline at the top of the waves. The indicator broke out of the trendline on the day of the earnings release and continued in its upward trajectory. Another good confirmatory signal is the increase in volume on the break. This indicates that this move is the "real deal" and not a false break higher.

The MACD histogram bars are also growing and the signal lines are diverging apart. More importantly, the signal lines remain above the zero level which shows that the uptrend is still intact.

Overall this is a very strong uptrend and it would take a brave trader to short the stock from here. The market is still making higher highs and higher lows and until that changes and the 250 level is broken to the downside all is well with this trend.

Author

FXStreet Team

FXStreet

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

AUD/USD: Rebound remains capped by 0.6900 after China inflation data

AUD/USD holds the rebound below 0.6900 in the Asian session on Monday. Mixed China's inflation data for October fails to provide any inspiration to the Chinese proxy, the Australian Dollar, keeping the upswing limited. Reduced US-Iran tensions weigh on the US Dollar and fuel the bounce in the Aussie pair.

USD/JPY retreat in sync with USD, appraches 158.00

USD/JPY is back in the red at the start of the week on Monday, eyeing the broad US Dollar retreat amid easing US-Iran tensions. Traders also resorting to profit-taking following the blockbuster US Nonfarm Payrolls data-led rally. US CPI report is next in focus.

Gold bounces back above $4,100 amid easing Iran risks

Gold price recovers some lost ground and regains $4,100 during the Asian trading hours on Monday. Speculations that incoming Democrats would push to end the Iran war lift the yellow metal amid latest comments from US President Donald Trump that new strikes on Iran are unlikely if talks progress.

Weekly forecast: A resilient US Dollar faces its next big test?

The US Dollar (USD) weathered the post-US midterm election results better than expected, adding to the previous week’s bullish move and managing to keep the trade above the key 102.00 barrier on the US Dollar Index (DXY).

AI selloff: What bonds and credit markets reveal

The recent selloff in US technology stocks has left investors with a difficult question. Are we simply looking at a correction after months of strong performance, or is the market starting to reflect deeper problems in the economy? The Nasdaq 100 has lost as much as 16.3% from its record high, while the Philadelphia Semiconductor Index has experienced an even sharper decline.

US Dollar breaks below 101.50 as Democrats sweep Congress

The US Dollar (USD) comes under heavy selling pressure on Wednesday, with the US Dollar Index (DXY) falling around 0.5% to trade near 101.35 after sliding below the 101.50 level. The Greenback retreats to its lowest level in four weeks as investors reassess the political and economic outlook following the Democratic Party's sweeping victory in the United States (US) midterm elections.