Analysis:
Google (GOOGL) is currently trading near a critical resistance level at $200, which coincides with the highest positive Gamma Exposure (GEX) and a significant psychological round number. The price action suggests a potential breakout or rejection scenario.
Technical Observations:
1. Trend Analysis:
* GOOGL is forming an ascending triangle pattern on the hourly chart, indicating bullish consolidation.
* Higher lows reinforce buying pressure.
2. Key Levels:
* Resistance: $202 (recent high and 3rd call wall)
* Support: $192.5 (major support level and put gamma wall), $187.3 (next key support)
3. Indicators:
* MACD: Shows a weak bullish crossover, suggesting momentum is building but not yet decisive.
* Stochastic RSI: In the overbought zone, hinting at potential short-term exhaustion.
4. Volume Profile:
* Increased volume near $200 suggests significant market interest at this level.
GEX Insights:
1. Call Walls:
* Key Call Levels: $202 (3rd call wall) and $205 (2nd call wall). These levels act as resistance where call sellers might hedge, amplifying upward movement if breached.
2. Put Walls:
* Key Put Levels: $192.5 and $185. These serve as support levels where put sellers may defend prices.
3. IVR and Options Activity:
* IVR: 53 (indicating above-average implied volatility).
* Options Flow: Call volume dominates with 27.6% skew, highlighting bullish sentiment in the short term.
Trade Scenarios:
Bullish Scenario:
* Entry: Break above $202 with strong volume.
* Target: $205 (next resistance) and $210 (longer-term resistance).
* Stop-Loss: Below $198 to minimize risk.
Bearish Scenario:
* Entry: Rejection at $200-$202.
* Target: $192.5 (support) and $187.3 (next key level).
* Stop-Loss: Above $203 to limit losses.
Actionable Suggestions:
* Monitor price action around $200-$202. A decisive move above or rejection will define the next direction.
* Keep an eye on options flow. Increasing call open interest near $205 may signal bullish continuation.
* Be cautious of overbought signals from the Stochastic RSI.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always do your own research and manage your risk before trading.
Google (GOOGL) is currently trading near a critical resistance level at $200, which coincides with the highest positive Gamma Exposure (GEX) and a significant psychological round number. The price action suggests a potential breakout or rejection scenario.
Technical Observations:
1. Trend Analysis:
* GOOGL is forming an ascending triangle pattern on the hourly chart, indicating bullish consolidation.
* Higher lows reinforce buying pressure.
2. Key Levels:
* Resistance: $202 (recent high and 3rd call wall)
* Support: $192.5 (major support level and put gamma wall), $187.3 (next key support)
3. Indicators:
* MACD: Shows a weak bullish crossover, suggesting momentum is building but not yet decisive.
* Stochastic RSI: In the overbought zone, hinting at potential short-term exhaustion.
4. Volume Profile:
* Increased volume near $200 suggests significant market interest at this level.
GEX Insights:
1. Call Walls:
* Key Call Levels: $202 (3rd call wall) and $205 (2nd call wall). These levels act as resistance where call sellers might hedge, amplifying upward movement if breached.
2. Put Walls:
* Key Put Levels: $192.5 and $185. These serve as support levels where put sellers may defend prices.
3. IVR and Options Activity:
* IVR: 53 (indicating above-average implied volatility).
* Options Flow: Call volume dominates with 27.6% skew, highlighting bullish sentiment in the short term.
Trade Scenarios:
Bullish Scenario:
* Entry: Break above $202 with strong volume.
* Target: $205 (next resistance) and $210 (longer-term resistance).
* Stop-Loss: Below $198 to minimize risk.
Bearish Scenario:
* Entry: Rejection at $200-$202.
* Target: $192.5 (support) and $187.3 (next key level).
* Stop-Loss: Above $203 to limit losses.
Actionable Suggestions:
* Monitor price action around $200-$202. A decisive move above or rejection will define the next direction.
* Keep an eye on options flow. Increasing call open interest near $205 may signal bullish continuation.
* Be cautious of overbought signals from the Stochastic RSI.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always do your own research and manage your risk before trading.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.