Netflix sold off after earnings and is now pulling back into an area where buyers have stepped in before. This matters because markets often react strongly when price revisits these types of zones. Right now, price is sitting near the lower part of that area. That makes it a spot traders pay attention to — not because it’s guaranteed to work, but because the risk and reward start to become interesting. This is considered a higher-risk location. It can either hold and bounce, or fail and continue lower. The important lesson here isn’t predicting the outcome — it’s understanding why this location matters and why patience is required. Instead of chasing price after a big move, letting price come back to a meaningful area is what keeps traders out of bad entries and emotional decisions. What happens next will depend entirely on how price behaves from here.

HTF Context: ADBE is now trading inside a major higher-timeframe demand area that previously launched the entire move higher toward the 600s. This zone matters because it represents the last strong area where buyers defended price before the big expansion. At the same time, the broader market structure has weakened, which means this is not a spot to assume a bounce. It’s a spot to slow down and watch how price behaves. If buyers can hold ground here, the bigger bullish picture stays alive. If not, that tells us something important about the trend. This is one of those areas where patience and observation matter more than prediction.