Thursday, February 16, 2006

Time to Google "Sell"

Despite the positive move this morning, Google (GOOG) is in the Stock Trends dog house. The stock originally turned Weak Bullish on January 20, although it bounced back the following week enough to turn briefly back to our Bullish category. It is now in the Weak Bullish category and the share price is approaching the 40-week moving average. Clearly, the Google bears are coming out, and the magical ride this stock has enjoyed since its original listing has come to an end. It is time to bail...or buy. Buyers are doing so at high risk, as articles like the one in Barron's on the weekend point out. For trend-following traders, though, the picture is clear: it's time to sell.
 

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