We saw a possible shorting opportunity during yesterday morning’s tutorial session, but GOOGL quickly disabused us of this bold idea with an upward burst that altogether ignored the sluggish behavior of the broad averages. Will GOOGL now drag every Tom-Dick-and-Harry stock higher for at least another day or two? Quite possibly, since the market itself, while eking out but a modest gain, showed perverse buoyancy in shrugging off a downward revision of Q1 GDP data that could only be described as catastrophic. If this forecast proves correct, look for the stock to hit the 592.04 target shown, a Hidden Pivot resistance of minor degree. Accordingly, traders should position from the long side for now, but with the goal of getting short with a generous stop-loss (i.e., 20 cents) when the target is reached. I would suggest doing so via the purchase of July 3 puts at the first strike price where the puts are offered for 1.00 or less. _______ UPDATE (9:18 p.m. EDT): Yesterday’s feeble head-fake to 589.60 on the opening diminished the value of the target 592.04 target, but I would encourage you to use the same chart to attempt bottom-fishing at the midpoint pivot or ‘d’ target of any follow-through leg to the downside Thursday night or Friday morning.
