On the “Off the Charts” segment of Tuesday’s Mad Money show, Bob Lang of ExplosiveOptions.net defended the Four Horsemen stocks that go by the FANG acronym he coined and Jim Cramer made famous.
Facebook (FB), Amazon (AMZN), Netflix (NFLX), and Alphabet (GOOGL) were all hit hard last week, but Bob had the confidence of his convictions. On Wednesday morning it looked the group would see a little more downside, but as it turned out the FANG stocks led a late day turn around in the broader market. Netflix was lower but rallied about 2% off its session low.
“For five years, Facebook, Amazon, Netflix and Alphabet survived everything that the bears had to throw at them, and each time they came out stronger than before,” Cramer said. “The charts, as interpreted by the incredible Bob Lang, suggest that this time may be no different. He does expect Alphabet to pull back some more before it can find its footing. But as for Facebook, Amazon and Netflix, he’s optimistic. Me? I remain a FANG stalwart.”