GOOGL stock has done great for 2015 until it started entering into a corrective period as the entire market. We believe that the price structure of GOOGL has an open room for another high in place to complete a major cyclearound $870-$920 price area.
Our short term target that might reach next week is the 100% extension area around $765.00. If the gap at $730 is filled then it will signal a bearish price movement for the short term. In the next chart we observe the 1h chart in order to determine if the price of GOOGL will continue its upside momentum towards new highs or continue lower.
In this chart, we see that GOOGL closed on Friday, March 11, on the 50% retracement level. It has also formed a bullish channel and in any case the price will try to find resistance at the upper-bound of the channel, near the 62% retracement level. That will be an important level to watch for indication on future price movements. Until then, we cannot distinguish between this move being 1-2 or a-b. In case it will stop at 50%-62% retracement, there is a high chance for this move to be an a-b-c that corresponds with the 100% extension level.
We do not advise on any swing trades for the moment but to wait for a clear picture during next week on taking better Risk-Rewards trades.
For risk-lovers, they can try a long position with a stop-loss slightly below the low of the Friday session and with
Target 1 = $750
Target 2 = $755