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Shares of Facebook are under pressure as the new week begins.  At mid day the stock is off just over 4% as it drops to fresh May lows.  This breakdown type move, which is getting a jolt from a Citi downgrade(to ‘Neutral’ from ‘Buy’), is driving FB below the lower band of its 10 week bull channel.  We expect more downside in the near term. 

FB has left behind an ugly post earnings(Facebook’s 1Q Results Outperform As Ad Revenue Jumps; Shares Pop 6% ( spike high as well as a divergent MACD peak.  The powerful upside gap(+7.5%/$310.90) that followed the April 29th open is not attracting buyers.  

Initial support is near $300.00(March high).  

No position.