GOOGL climbs to highest close ever
Alphabet Inc. (GOOGL) Technical Analysis Report for Feb 14, 2020 | by Techniquant Editorial Team
GOOGL ended the week 2.68% higher at 1518.73 after gaining $5.34 (0.35%) today, slightly outperforming the Nasdaq 100 (0.29%) ahead of tomorrow's Presidents' Day market holiday. Today's close at 1518.73 marks the highest recorded closing price ever. Trading up to $8.98 lower after the open, Alphabet managed to reverse during the session as bulls took control ending the day above its opening price. Closing within the previous day's range, prices missed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (GOOGL as at Feb 14, 2020):
Friday's trading range has been $14.05 (0.93%), that's far below the last trading month's daily average range of $24.77. Weekly volatility is also lower, being below the market's average weekly trading range. The longer-term, monthly volatility is currently lower than usual for GOOGL. Prices continued to consolidate within a tight trading range between 1504.00 and 1525.95 where it has been caught now for the last three trading days.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar.
Prices are trading close to the key technical support level at 1504.00 (S1). After having been unable to move lower than 1504.00 in the prior session, the share found buyers again around the same price level today at 1505.55. The last time this happened on Wednesday, GOOGL actually lost -0.35% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could accelerate should prices move above the nearby swing high at 1525.95 where further buy stops might get activated. Selling could speed up should prices move below the close-by swing low at 1504.00 where further sell stops might get triggered.
Among the six market conditions that our pattern recognition engine identified today, the statistics for the Support/Resistance based market condition "Low close to previous low" stand out. Its common bullish interpretation has been confirmed for Alphabet. Out of 517 times, GOOGL closed higher 55.51% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the long side has been after 10 trading days, showing a win rate of 57.83% with an average market move of 0.76%.
With two of the other FAANG Stocks closing higher and two closing lower today, the winners of the day are FB surging 0.49% and AAPL gaining 0.02%. On the flipside the worst performers have been AMZN closing -0.7% lower and NFLX losing -0.26%. Read more