Netflix $NFLX moved from Stage 2 (advancing) back in October 2025 then into topping and since then Stage 4 declining.

Stage Analysis kept traders on the short side, or at least not catching a falling knife.

Only 4 of the 11 sectors are in Stage 2: tech $XLK, energy $XLE, health care $XLV and financials $XLF. In tech, 34.7% of the sector's 254 stocks are in Stage 3, more than in any other Stage 2 sector.