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Is “M” a Difficult Letter for Alphabet?

NASDAQ:GOOGL   Alphabet Inc (Google) Class A
Google renamed itself Alphabet in 2015. Now it may be struggling with the 13th letter in that famous text string.

Notice how GOOGL nosed above $3,000 on November 5 and 8 but failed to hold. Almost exactly the same thing took place on November 18 and 19. Both attempts left behind solid candlesticks with long tails on top – yet not a single close above the psychologically important $3,000 level.

Perhaps even more important, the price action generated an “M” double-top. That’s a potential reversal pattern.

Next, MACD made a lower high last month while prices hit a slightly higher high: bearish divergence.

Another thing to watch could be GOOGL’s rising trendline along the lows of March and October. The stock is parked right on that pattern and the 50-day simple moving average (SMA). Breaks of those lines could potentially drive some investors to the sidelines.

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