Alphabet's Uptrend May Be at RiskAlphabet has climbed for the past year, but now its uptrend may be at risk.
The first pattern on today’s chart is the late-January failed breakout above the November 2021 high of $150.97.
GOOGL then fell and held the bottom of a rising channel and its 50-day simple moving average. It bounced and returned to close back under those lines last week. Is the uptrend breaking?
Also consider how the Internet giant only reached the middle of the channel on February 9 before rolling over. The resulting lower high may also suggest the uptrend is faltering.
Next, MACD is falling and the 8-day exponential moving average (EMA) just crossed below the 21-day EMA. That may reflect weakness in the shorter term.
Finally, you have bearish gaps after the last two quarterly reports. This contrasts sharply with NASDAQ:MSFT Microsoft and NASDAQ:META Meta Platforms, which both hit new highs. (MSFT and META are also outperforming in the key areas like Cloud and advertising.) Does GOOGL’s rangebound price action resemble NASDAQ:AAPL Apple’s, with weakening fundamentals as rivals break out?
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