Alphabet Inc. (NASDAQ:GOOG) just logged its best one-day gain in four years
Alphabet (NASDAQ:GOOGL, NASDAQ:GOOG), parent of search engine giant Google, may be getting a bit long in the tooth and have lost a step since its earlier days. The fact that Google stock just logged its best one-day gain in four years, however, makes it clear this tech titan isn’t the has-been some traders were treating it as just three months ago.
Looking Ahead for Google Stock
There’s little not to like, not just about its second-quarter results, but what it says about the company’s foundation. As Pivotal Research Group’s analyst Michael Levine conceded, the Q2 numbers suggested “stronger signs of life than anticipated.” Several analysts upped their target prices on Google stock following the release of the report, some of whom had lowered their target just three months earlier.
Although investors and analysts alike are more optimistic than they were less than a week ago, that optimism doesn’t necessarily make GOOGL stock an easy name to step into right now. The post-earnings jump, though it pushed shares to a deserved price, left behind a sizeable gap that could be at least partially filled in before the stock is able to resume its rally.
There’s little doubt the technology giant was quick to get a handle on what wasn’t working at the beginning of this year though.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 1,143.98.
The projected upper bound is: 1,292.86.
The projected lower bound is: 1,159.93.
The projected closing price is: 1,226.40.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 27 white candles and 23 black candles for a net of 4 white candles.
A doji star occurred (where a doji gaps above or below the previous candle). This often signals a reversal with confirmation occurring on the next bar.
A long upper shadow occurred. This is typically a bearish signal (particularly when it occurs near a high price level, at resistance level, or when the security is overbought).
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.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 81.1727. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 9 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 68.05. This is not a topping or bottoming area. However, the RSI just crossed below 70 from a topping formation. This is a bearish sign. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 0 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 135.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 9 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 2 period(s) ago.
Rex Takasugi – TD Profile
ALPHABET INC C closed down -14.270 at 1,225.140. Volume was 3% below average (neutral) and Bollinger Bands were 31% wider than normal.
Open High Low Close Volume___
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period 50-period 200-period
Close: 1,169.19 1,118.76 1,117.10
Volatility: 61 37 36
Volume: 1,878,678 1,528,584 1,648,471
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.
ALPHABET INC C is currently 9.7% above its 200-period moving average and is in an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term. Our volume indicators reflect volume flowing into and out of GOOG.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on GOOG.O and have had this outlook for the last 27 periods.