A look at GOOG again, now that the media is catching on:
Aug. 18 (Bloomberg) -- Wondering why your investment in Google Inc. has lost 18 percent of its value since the shares peaked at about $475 in January? Relentless stock sales by the Internet search company's executives might be to blame. Link
It's in the charts as well. Last Monday, I mentioned the following: ...unless GOOG moves back up above 385 rather quickly, there could be trouble ahead. The big pie on the sky for bears is the October 2005 gap close at 303, but they will need to get the stock below 340 for that to come in play. Nevertheless, GOOG is at a critical spot right now...
Not much has changed for GOOG and that is a red flag. It cannot get back above 38.2% 386.39 for very long and even though we have been bouncing off the 20 day moving average, GOOG is one of the lagging large cap tech stocks that has not reconquered its 50 day moving average in last week's rally. That is bad news for GOOG. In fact, any tech stock that did not follow QQQQ/NDX/NQ and SMH back up above the 50 dma last week is in trouble. The stock is a darling of momentum traders, but if they decide to drop it, look out below. Key support is 368. A strong close on volume back above the 50 dma at 394 negates the bearishness.
Aug. 18 (Bloomberg) -- Wondering why your investment in Google Inc. has lost 18 percent of its value since the shares peaked at about $475 in January? Relentless stock sales by the Internet search company's executives might be to blame. Link
It's in the charts as well. Last Monday, I mentioned the following: ...unless GOOG moves back up above 385 rather quickly, there could be trouble ahead. The big pie on the sky for bears is the October 2005 gap close at 303, but they will need to get the stock below 340 for that to come in play. Nevertheless, GOOG is at a critical spot right now...
Not much has changed for GOOG and that is a red flag. It cannot get back above 38.2% 386.39 for very long and even though we have been bouncing off the 20 day moving average, GOOG is one of the lagging large cap tech stocks that has not reconquered its 50 day moving average in last week's rally. That is bad news for GOOG. In fact, any tech stock that did not follow QQQQ/NDX/NQ and SMH back up above the 50 dma last week is in trouble. The stock is a darling of momentum traders, but if they decide to drop it, look out below. Key support is 368. A strong close on volume back above the 50 dma at 394 negates the bearishness.
This entry was posted
on Sunday, August 20, 2006 at 7:26 PM.
