Google Stock Quote

Google is holding on.

Today’s price action is impressive in light of the general market’s weakness. Google faded early on, but finished the day strong.

I mention the $140 level as that can be expected to act as resistance. For whatever reason, the round numbers tend to act as support or resistance depending on which way a stock is moving. If the stock does have difficulty with this price level, then expect support near the $135 level. That’s were the stock chopped around after gapping up on October 4th.

No doubt about, GOOG is on a tear. Until the stock makes a price swing (on whatever time frame) to the downside that is greater than any other price swing on that same time frame, the stock is in an uptrend. Just eyeballing the 60 minute chart, it looks like the largest downswing is ~$6. Until the stock drops from the recent swing high by at least that amount - and today’s high of $139.88 is the current swing high, which targets ~$133.88 - the trend is up.

And even if it does drop, the stock *should* retrace that drop and then continue lower.

No need to speculate on what might happen. Rather, staying focused on keeping a trailing stop on a long position that allows for enough “breathing” room will keep you in a profitable position.