The cup and handle pattern we identified in April for the GOOG stock has now fulfilled its first target of $127. Yesterday price reached $126.93 and remains in a short-term bullish trend making higher highs and higher lows. The bullish flag pattern target is at $130 and the momentum favors reaching this target as well. The RSI has reached overbought levels. A pull back at current levels is justified. Traders better protect their gains as the chances of a pull back have increased. Support is found at the flag area of $119-$117. It would not be a good sign if price breaks below this level. We remain bullish as long as we hold above it.
The material has been provided by InstaForex Company – www.instaforex.com
Black line -resistance
Blue lines- expected rise equal to height of cup
Red lines- bullish flag
The cup and handle pattern we identified in April for the GOOG stock has now fulfilled its first target of $127. Yesterday price reached $126.93 and remains in a short-term bullish trend making higher highs and higher lows. The bullish flag pattern target is at $130 and the momentum favors reaching this target as well. The RSI has reached overbought levels. A pull back at current levels is justified. Traders better protect their gains as the chances of a pull back have increased. Support is found at the flag area of $119-$117. It would not be a good sign if price breaks below this level. We remain bullish as long as we hold above it.
The material has been provided by InstaForex Company – www.instaforex.com
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