The surveillance of insider trading activity in major corporations is a major point for both analysts and investors, as it provides valuable insights into a company’s future prospects.
Such transactions often serve as significant indicators of executives’ confidence or apprehension, delivering essential signals to participants in the stock market.
Indeed, Meta Platforms (NASDAQ: META) CEO Mark Zuckerberg sold more than $17 million worth of the company’s shares on November 2, according to Barchart data. The total number of shares sold in this transaction was 53,018.
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The move came roughly a week after Meta reported its better-than-expected Q3 2023 financial results, which beat Wall Street’s expectations on top and bottom lines.
The stock initially fell to around $288 per share after the report, before rebounding to about $310 on November 2 – when Zuckerberg made the sale.
The last time the billionaire sold META’s shares was November 8, 2021.
The stock plunged 60% in the year after the sale, and Zuckerberg did not sell any more of his company’s stock before it re-embarked on an upward trajectory.
META chart analysis
At press time on November 7, shares of the Facebook owner were trading at $315.80, up 0.38% in the past 24 hours. Across the five trading days, META gained more than 4%, while its monthly performance stands at negative 0.8%.
From the perspective of technical analysis (TA), the stock sits above near-term support of around $312, followed by another significant support level at $301.96, where the 100-day moving average (MA) is located. Falling below this level would put Meta’s shares at risk of falling toward $275.
On the upside, META faces resistance lines at $318.5 and $330, indicating areas where selling pressure may increase.
Moreover, the stock currently occupies the upper end of its 52-week trading range and is trading above all key moving averages.
Driven by the ongoing artificial intelligence (AI) boom, it soared more than 150% since the start of the year, substantially outperforming the broader S&P 500 index.
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Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
