GOOG Update

Since GOOG was used as the example for this weekend's video regarding short duration leveraged longs and long duration core shorts, I thought I'd update GOOG as the first part of that trade would be a leveraged (call options) long. As far as the core short, on an intraday basis or day to day, GOOG looks like it could be had at a better area and I'll show you some, but if you look on a daily basis and are looking at the big picture, this probable upside move is so minor, it's almost irrelevant, so how, if or when you chose to pursue a GOOG short or hedged strategy depends largely on what timeframe you prefer, obviously the shorter more tactical allows for better entries with less risk while the longer term view allows for a good entry with not much risk and the added bonus of having the short exposure because on a daily chart alone, GOOG is a short here and now in my view.

 The first move down did hit a round of stops, but IO suspect there will be another move under $866.10, at least I'll have an alert set for the area.

This is the 3 min chart, you may recall from the video yesterday that the 1, 2 and 3 min charts are all positive as well as intermediates like 15 min, it's the 5 min chart I'd like to see close the gap between intraday and intermediate before entering any leveraged long positions.

A 15 min chart reveals two smaller rounding areas, one completed around the 30th and one now, they look to be part of a larger rounding process.

I traced out the same rounding areas and you can see how insignificant they look on a 60 min chart, but I think to get past the second target of $905, the base would need to be that large.  For tactical entries, personally I would prefer to already have some short exposure to GOOG and add to it above $925, but I probably wouldn't even start looking or expect to see much until we pass the first two upside targets.