Netflix (NASDAQ: NFLX) has reached a high-probability monthly demand imbalance near $98 per share, a price zone where professional buyers previously stepped in aggressively.
This analysis is based purely on price action and supply and demand, ignoring fundamentals, earnings, and news. Those factors are already reflected in price once large imbalances are created.
The current demand zone was formed after a strong bullish impulse between April and June 2025. This impulse is characterized by:
These characteristics signal institutional participation, not retail speculation.
After the rally, Netflix entered a corrective phase that lasted several months. This slow pullback allowed the price to return to the original demand imbalance, which is a classic behaviour seen in high-quality stocks.
Most traders get frustrated during long pullbacks. Professional traders get interested.
Supply and demand trading is not about guessing direction. It’s about waiting for price to return to areas where buyers or sellers have already proven control. As long as this monthly demand remains valid, the long-term bias for Netflix remains bullish, opening the door for higher prices into the end of 2025.
Netflix is a perfect example of why learning to trade supply and demand is so powerful:
Just clean price action and clear imbalances. This approach works for swing trading stocks, long-term stock investing, and even intraday strategies when aligned with higher-timeframe demand.