Netflix (NASDAQ:NFLX) has undergone many changes since the customer backlash against a change in its pricing policy. The stock is still in a transition period, but better earnings and a huge expansion overseas should help to turn the price higher.

The Trade Of The Day recommended NFLX as “a bottom fishers stock” on Jan. 26 with a short-term target of $120. It easily made that target and then pulled back on profit-taking. The company’s management has set a new and more acceptable pricing strategy, and NFLX’s greater flexibility gives it a jump on streaming video.

Click to EnlargeInternational expansion and its ability to provide exclusive offerings and original programming should keep Netflix ahead of its competition. Technically, NFLX has broken through the conjunction of the 20- and 50-day moving averages, which should provide trade to $125, but the longer-term target is $150.