GOOGL Testing Key Resistance: A Setup for Dec. 4, 2024GOOGL is trading in a tightening range, testing a significant resistance zone. With recent price consolidation and volume spikes, here's how to navigate potential breakout or rejection scenarios.
1️⃣ Price Action & Chart Analysis
* Trend Overview: GOOGL is hovering below a key resistance at $172.68 after rebounding from support at $167.
* Key Levels:
* Resistance: $172.68
* Support: $168.00 and $167.17
The $171–$172 range will be crucial for determining the stock's next move.
2️⃣ Liquidity Zones & Order Blocks
* Liquidity Zone: The area between $171 and $172 is attracting activity; watch for increased volume here.
* Order Block: Demand zone around $167, which aligns with previous buying interest and consolidation.
3️⃣ Scalping Strategy
For quick intraday trades:
* Entry (Breakout): Buy above $172.68 with confirmation. Target $174–$175 for a quick exit.
* Stop-Loss: Place below $171 to manage risk.
* Rejection Play: If $172.68 holds as resistance, short with a target of $169.
4️⃣ Swing Trade Strategy
For traders looking for a longer-term position:
* Entry Option 1: Buy on a confirmed breakout above $172.68.
* Entry Option 2: Wait for a pullback to $167 for a better risk-reward ratio.
* Targets:
* Initial Target: $175
* Extended Target: $178
* Stop-Loss: Below $166 for a conservative risk approach.
5️⃣ Momentum & Indicators
* MACD: Bullish momentum building, with the signal line trending upwards.
* Volume: Spikes at resistance indicate trader interest; watch for sustained buying to confirm a breakout.
Game Plan for Tomorrow
* Scenario 1: A breakout above $172.68 sets up a move toward $175; wait for strong volume before entering.
* Scenario 2: Failure to break $172.68 could lead to a pullback to $167, offering a better entry for long positions.
Disclaimer:
This analysis is for educational purposes only and not financial advice. Always do your own due diligence before making trades.