Monday, September 26, 2011

GOOG: Rally Toward Stacked Resistance





From the weekend, on GOOG:

"GOOG also was looking like a stock that didn't want to go down any more, at least not immediately. It had held the 514's twice on Thursday afternoon, again of Friday morning, and basis the 5-Minute chart, the EMAs were bunched together and had turned bullish."

GOOG currently is called Gap Up four dollars in pre-market, to the $529's, which is more like the kind of rally that I was looking for on Friday when the stock came off $514 support. If the current indication holds up, GOOG will be rallying toward the bottom of the of the broken Channel, the bottom of which was validated as support on September 12, then broken on a Gap Down below it on September 22.

Resistance Levels (534.51-538.86):

534.51 - The 21-Day Kijun-sen
535.496 - The bottom of the broken Channel. It rises 1.785 per/day.
536.26 - The 8-Day Tenkan-sen
537.535 - The bottom of Kumo (Cloud) resistance
538.86 - The low prior to the Gap Down below the Channel

Any rally below, and up to, the 534.51 low of all of that resistance is a "gimme." Above it is Bull/Bear Combat Zone.

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