Google Is Close to Resistance

Published on Wednesday, 29 August 2012 09:28 Written by TradersHuddle Wire

New York, August 29th (TradersHuddle.com) - Shares of Google Inc. (NASDAQ:GOOG) are trading very close to calculated resistance at $678.87. The stock ended the trading session at just $677.25, which is near levels that make it difficult to buy or start a position.

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.

Google's stock range is defined by its calculated support defined at $562.09 and by the resistance level at $678.87; the stock is clearly over-extended from support, making it harder for participants to establish fresh longs.

Traders don't have a clear entry point for Google. However, as the stock pulls back towards $562.09 it will definitely provide a reference point to establish a trade. On the other hand, if the stock breaks above its resistance level at $678.87 then traders will get an opportunity to enter the stock as it moves to a higher range.