here’s why buying Google (GOOGL) at $158.36 makes sense from a technical analysis (TA) perspective:
1. Lower Bollinger Band Support 📊
The lower Bollinger Band is at $157.52, and the stock has bounced near $156.72, which suggests strong support in this range. Buying near the lower band often signals a potential reversal if buyers step in.
2. MACD Shows Oversold Conditions 📉
The MACD (Moving Average Convergence Divergence) indicator shows a deep negative DIF (-6.15) and DEA (-5.79), suggesting that Google has been in a strong downtrend. However, when MACD is this oversold, a reversal is likely once momentum shifts.
3. Downtrend Line Test 🔄
The chart shows a downward trendline from the February high of $207.05. Google has been respecting this trend but is now testing support. A breakout above the trendline could signal a trend reversal.
4. Historical Support Around $156-$158 📌
The last major low was around $156.72, and the stock has bounced near this level multiple times. Buying here means you are entering at a historically strong demand zone, reducing downside risk.
5. Risk-Reward Ratio Favorable 🎯
Since Google has already dropped over 22% from its highs ($207), downside is limited if support holds. If the price rebounds, it could retest the mid Bollinger Band ($171.15) or even the 200-day MA in the longer term.
Final Thought 💡
Buying at $158.36 is a smart technical move if you expect a bounce from oversold levels and a potential breakout from the downtrend. If support at $156 fails, you might consider a stop-loss around $150-$152 for risk management.@MillionaireTiger @Daily_Discussion @TigerTradingNotes @MillionaireTiger @MillionaireTiger$Alphabet(GOOGL)$
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
What is the purpose of buying 0.00631 shares? Your commission cost more than the value of holding this. Even if GOOGL rises back to $207.05, the profit of $0.30 is not enough to cover your commission to Tiger Brokers. Can you explain your train of thoughts further?
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