Overview of the Pullback
I am currently monitoring Google (
GOOGL) after its recent retreat following its earnings announcement and a decline from its all-time high. This type of pullback, ranging between 10% and 20%, is typical during an ongoing uptrend. Such corrections are generally considered part of a healthy market movement within a bullish phase.
Technical Observations
Upon reviewing the chart, it appears that Google may have established support at a previous low, as indicated by a horizontal line on the chart. The stock has responded with what appears to be a reversal candle, signaling a potential change in direction. Additionally, today's session has produced what looks like a confirmation candle, further supporting the possibility of a rebound from this support level.
Positioning Strategy
Based on these technical signals, I have initiated a half-size position in Google. My plan is to increase this to a full-size position if the stock confirms its strength by forming a higher low. To manage risk, I have set a stop-loss just below the horizontal support area. This approach allows for a disciplined entry and risk management as the setup develops.
Previous Position
It is worth noting that I held a position in Google prior to the most recent earnings report. However, I did not maintain enough of a profit cushion to confidently hold through the volatility of the earnings announcement, which led me to exit before the results were released.
Disclaimer
Readers are strongly encouraged to perform their own analysis and follow their personal trading strategies. Every investment involves inherent risks, so it is crucial to make careful and informed decisions when allocating capital in the financial markets.
I am currently monitoring Google (
GOOGL) after its recent retreat following its earnings announcement and a decline from its all-time high. This type of pullback, ranging between 10% and 20%, is typical during an ongoing uptrend. Such corrections are generally considered part of a healthy market movement within a bullish phase.Technical Observations
Upon reviewing the chart, it appears that Google may have established support at a previous low, as indicated by a horizontal line on the chart. The stock has responded with what appears to be a reversal candle, signaling a potential change in direction. Additionally, today's session has produced what looks like a confirmation candle, further supporting the possibility of a rebound from this support level.
Positioning Strategy
Based on these technical signals, I have initiated a half-size position in Google. My plan is to increase this to a full-size position if the stock confirms its strength by forming a higher low. To manage risk, I have set a stop-loss just below the horizontal support area. This approach allows for a disciplined entry and risk management as the setup develops.
Previous Position
It is worth noting that I held a position in Google prior to the most recent earnings report. However, I did not maintain enough of a profit cushion to confidently hold through the volatility of the earnings announcement, which led me to exit before the results were released.
Disclaimer
Readers are strongly encouraged to perform their own analysis and follow their personal trading strategies. Every investment involves inherent risks, so it is crucial to make careful and informed decisions when allocating capital in the financial markets.
Note
GOOGL I am still holding this trade. It is having trouble with a declining 21 EMA (blue). For this to get going, it needs to get up and over that area and then get above the flatish 50 DMA. If it has a definitive close under that horizontal line, I will close the trade and look to get back in on strength. TBD.
Ideas I publish are my own. They are not meant to be investment / trading advice. You are encouraged to do your own due diligence.
I am under no obligation to post any action or update to any idea.
Follow me on "X" where I post more content.
I am under no obligation to post any action or update to any idea.
Follow me on "X" where I post more content.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Ideas I publish are my own. They are not meant to be investment / trading advice. You are encouraged to do your own due diligence.
I am under no obligation to post any action or update to any idea.
Follow me on "X" where I post more content.
I am under no obligation to post any action or update to any idea.
Follow me on "X" where I post more content.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.