Don’t Forget About AlphabetAlphabet has been on the sidelines since a big rally in May. Is it time for traders to think about more upside?
The first pattern on today’s chart is last August’s peak around $122.43. GOOGL chopped on either side of the level for three weeks but has mostly stayed above it. Last Wednesday’s pullback brought prices back to the line and it’s stayed there since. Has old resistance become new support?
Second, stochastics dipped near an oversold condition during the period of consolidation.
Third, GOOGL is near its rising 21-day exponential moving average (EMA). If price stays above that line, it could potentially signal that a bullish trend remains in effect.
Finally, remember that Artificial Intelligence (AI) advances lifted the stock in May. That narrative has continued to play out in other names like Nvidia (NVDA) and Adobe (ADBE). Investors following the movement may see an opportunity in GOOGL now that it’s pulled back.
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