Home Headline News Alphabet Inc. (NASDAQ:GOOG) inject $1 Billion To Try To Tame Housing Costs...

Alphabet Inc. (NASDAQ:GOOG) inject $1 Billion To Try To Tame Housing Costs In SF Bay Area

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Alphabet Inc. (NASDAQ:GOOG) inject $1 Billion To Try To Tame Housing Costs In SF Bay Area

Google is committing $1 billion to try to provide more affordable housing in the San Francisco Bay Area, where big tech firms have been blamed for putting home prices out of reach for anyone without a rich stock-option plan. Google says the money should result in 20,000 new homes added to the local market, over 10 years.

“We hope this plays a role in addressing the chronic shortage of affordable housing options for long-time middle and low income residents,” Google CEO Sundar Pichai said in a statement unveiling the plan Tuesday.

As Google and other big tech companies have thrived, many people have struggled to find housing in the region or have been forced into lengthy commutes — 90 miles in at least one case.

People earning $100,000 can afford to live in only 28 percent of the Bay Area’s neighborhoods, member station KQED reported last month, based on a review of housing costs and median rent rates. And a study published in April found that the Bay Area had the third-largest population of people experiencing homelessness in the U.S.

Google’s attempt to ease the housing crunch will play out over 10 years, in two main phases. First, Pichai said, the company will “repurpose at least $750 million of Google’s land, most of which is currently zoned for office or commercial space, as residential housing.”

That move should result in 15,000 new homes at all income levels, including for low- and middle-income prospective homebuyers, the Google CEO said.

In the second part of the plan, Google will create a $250 million investment fund that will be used to give developers incentives to build at least 5,000 affordable housing units.

Pichai said the company has already worked with its home city of Mountain View, Calif., to change the zoning on some of its land. Similar conversations, he added, are taking place with officials in nearby Sunnyvale and San Jose.

Overall, the bias in prices is: Downwards.

Note: this chart shows extraordinary price action to the downside.

By the way, prices are vulnerable to a correction towards 1,133.34.

The projected upper bound is: 1,165.92.

The projected lower bound is: 1,037.14.

The projected closing price is: 1,101.53.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 29 white candles and 21 black candles for a net of 8 white candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 66.9469. This is not an overbought or oversold reading. The last signal was a buy 8 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 48.23. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 7 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 93. This is not a topping or bottoming area. The last signal was a buy 7 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 4 period(s) ago.

Rex Takasugi – TD Profile

ALPHABET INC C closed up 11.100 at 1,103.600. Volume was 6% below average (neutral) and Bollinger Bands were 23% wider than normal.

Open            High           Low             Close          Volume
 1,109.690      1,116.390      1,098.990       1,103.600      1,386,684

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish

Moving Averages: 10-period     50-period     200-period
 Close:          1,075.90      1,157.86      1,123.03
 Volatility:     17            35            35
 Volume:         1,413,455     1,566,531     1,660,453

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

ALPHABET INC C is currently 1.7% below its 200-period moving average and is in an downward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of GOOG.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on GOOG.O and have had this outlook for the last 32 periods. Our momentum oscillator has set a new 14-period high while the security price has not. This is a bullish divergence.

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