I was looking at GOOG’s chart to see if GOOG has any support at current levels. I trade Daily Stock Charts, but I do research Weekly and Monthly charts to see if there is any glaring visible pattern for me to analyze.
Interestingly GOOG seems to be forming a Symmetric Triangle Pattern. So, I want to see GOOG’s retracement levels. GOOG started trading in Aug. 2004 at a low of $95 and reached a high of $747 by Nov. 2007. From Nov. 2007, GOOG retraced (BC) by 76.4% to $247 in Nov. 2008. From a low of $247 in Nov. 2008, GOOG rallied to 628 by Dec. 2009, which is also 76.4% rally into BC range. If Symmetry works, GOOG should retrace the same 76.4% of CD retracement and trade at $337.57.
$SPX is trading near its 50% retracement level (1120) from Oct. 2007 (1576) to the low of March 2009 (666). This level may act as resistance for short-while. Note $SPX.x also trading above 200-SMA on Monthly chart.