Google Approaching its 50 Day

Published on Friday, 03 February 2012 20:40 Written by Danny Miller

New York, February 3rd (TradersHuddle.com) - Shares of Google Inc. (NASDAQ:GOOG) closed the trading session at $596.33 near its 50 day moving average currently set at $614.36. Google's price action is below this important level, which makes the stock difficult to buy, as there will certainly be resistance as it approaches its 50 day.

Google Inc. (NASDAQ:GOOG) is a global technology company that provides a web based search engine through its website. Its automated search technology helps users to obtain instant access to relevant information from its online index. The company provides targeted advertising and Internet search solutions, including web, image, groups, directory, and news searches.

Latest price action range, defined by a peaks and troughs algorithm places calculated support at $564.55 and calculated resistance at $670.25. These levels will be closely watched by traders, as they provide great insight into the latest price dynamics defined by Google shares.

Traders should evaluate their trade if they want to establish a position on Google given the resistance expected as the stock approaches the 50 day moving average. A trade might materialize as the stock manages to break this important level, as it could be used as support going forward, however until the break materializes buying the stock is nothing different than flipping a coin. Other levels that traders will be evaluating are the ones defined by the peak and troughs algorithm that provides great price level reference points.