Alphabet Inc., Daily Chart Analysis 9/12
Stock Analysis, Implications and Outlook
It's a proven fact that investors and traders have been swimming in a long bull stock market. Together with extreme caution to the wind, way too many investors and traders have learned to expect robust double-digit results from their trades.
However, this isn't how the stock market operates. The marketplace advances it also contract as well. With lots of investors and traders discovering that they've been a tad too quick to ignore the painful lessons of the 2008 financial meltdown. Throughout the severe financial and economic crash, there seemed to be only one question which often market players were considering to know: what is the balance sheet really like?
Having said this all, Alphabet unveiled its Q2 2018 earnings on 23 of July. The participants, in the beginning, welcomed its good results with much excitement and its stock rallied post-earnings solidly by completing the inner Stock Rally of $1273.
Then, ever since, its stock price has deflated and given back plenty of its gains, and at the same time significantly underperformed its NASDAQ benchmark within the previous month.
By validating the negative sentiment, the stock has completed decline to its outer Stock Dip $1160. This signalizes a slower rising rate, but may also be an early warning about a possible up-trend shift and rapid rise to Mean Resistance of $1207 price level (Scenario 1), while Key Resistance $1250 is looming above.
Due to completion of the Stock Dip, and performing small dead-cat-bounce act there could be additional decline to test Mean Support $1139 (Scenario 2). A reaction to this level may hold a great opportunity to go long.
It's a proven fact that investors and traders have been swimming in a long bull stock market. Together with extreme caution to the wind, way too many investors and traders have learned to expect robust double-digit results from their trades.
However, this isn't how the stock market operates. The marketplace advances it also contract as well. With lots of investors and traders discovering that they've been a tad too quick to ignore the painful lessons of the 2008 financial meltdown. Throughout the severe financial and economic crash, there seemed to be only one question which often market players were considering to know: what is the balance sheet really like?
Having said this all, Alphabet unveiled its Q2 2018 earnings on 23 of July. The participants, in the beginning, welcomed its good results with much excitement and its stock rallied post-earnings solidly by completing the inner Stock Rally of $1273.
Then, ever since, its stock price has deflated and given back plenty of its gains, and at the same time significantly underperformed its NASDAQ benchmark within the previous month.
By validating the negative sentiment, the stock has completed decline to its outer Stock Dip $1160. This signalizes a slower rising rate, but may also be an early warning about a possible up-trend shift and rapid rise to Mean Resistance of $1207 price level (Scenario 1), while Key Resistance $1250 is looming above.
Due to completion of the Stock Dip, and performing small dead-cat-bounce act there could be additional decline to test Mean Support $1139 (Scenario 2). A reaction to this level may hold a great opportunity to go long.
Comment:
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