If you didn’t zoom in, you wouldn’t see what happened to Google today. (October 15, 2012)
GOOG
I’m Dan Fitzpatrick at Stock and OptionMarketMentor.com on Monday the 15th of October. Let’s look at Google ( $GOOG Google Inc ). Google ( $GOOG Google Inc ), the D.O.J. has them in their line-of-sight. We’re getting kind of a Microsoft retread antitrust thing happening here. So what happened with Google ( $GOOG Google Inc ) today? The stock closed down half a percent but what was really meaningful to me was the fact that it dipped so far down during the day. Let’s just zoom in and we’ll look at say a five- minute chart and you can see. This had actually started selling off on Friday, it just continued and then look at what happened on this volume here. One big last volume spike here and that was the last gasp of sellers, that was it, this was the bottom right here, we’ll call it $730.00. Google ( $GOOG Google Inc ), right here after all this big decline, I can just keep going back, you can see it’s kept going, this was a major bottom here, you’re not really going to pick that up unless you go intraday like this. The new low really is $730.00 for Google ( $GOOG Google Inc ). Then it printed, what was this? Right around well, $736.00 something like that, was resistance, now the stock has broken out so this is a key low right here, $730.00. If the stock though, starts falling back tomorrow, you could also get any pullback to about $736.00 also act as support for the stock just because of this rule of prior resistance once broken often becomes new support, so watch for this type of a move in Google ( $GOOG Google Inc ). If you’re a trader I think this is a buying opportunity for you but I think ultimately Google’s ( $GOOG Google Inc ) going to test the 50-day moving average, that’s just what stocks do but if you’re a short term trader, you’re an aggressive trader, I think you can take Google ( $GOOG Google Inc ) for a ride; just make sure that you understand that if it pops down below $730.00 you just don’t want to hold it all the way down for that test, there’s no particular reason to do that. Okay, also if you haven’t done it already go over to OptionMarketMentor.com, we’re offering a risk-less 30-day trial for s$7.77; you try it for 30-days, if you don’t like it just cancel, we’ll even give you your $7.77 back okay; but I want you to get that done; we’re doing a lot of good stuff over there. If you’re new to options trading, if you find it a little bit daunting, start here. If you find out that options aren’t for you or that Option Market Mentor isn’t for you, you know what? At least you tried and isn’t that what’s the most important? So I’ll see over there. Members, get over to the Strategy Session, lots of stuff to talk about tonight. Free Chart