Is Facebook's Post-IPO Weakness Over?

Facebook, Inc. (FB) certainly is following the constructive technical script we have been discussing since it ended its initial Sept upleg from 17.55 to 23.37.

From its 23.37 high on July 19, into Wednesday's July 26 low at 19.80, FB appeared to carve out a completed correction, which was why I entered the long side yesterday afternoon at 20.25.

Today's strength, despite an otherwise ugly tape, lends conviction to my pattern work that FB either has initiated a new upleg that should hurdle and accelerate beyond the July 19 high at 23.37 -- or it will climb quickly towards resistance just above 22.00 prior to looping down again for a retest of the 20.00-19.80 support area.

If the overall market does not improve, we will have to expect scenario number two to unfold.