Critical Pennant Formation for Google Inc (NASDAQ: GOOG) Says Market Timer Frank Kollar

November 4, 2008 (FinancialWire) (By Frank Kollar)

Shares of Google Inc (NASDAQ: GOOG) have been trying to establish a bottom just as most stocks are in this volatile market. But Google, which is down some 54% from its highs and is a bellwether for internet stocks, is closely watched and critical to those looking for a bullish move in this sector.

Google is forming a pennant formation that starts at its October highs. A line drawn across the top of Google’s highs for October, and a line drawn through the bottom of Google’s October lows, creates a pennant shape.

The upper, declining line is resistance and the lower rising line is support. Typically if either of these lines is broken decisively in coming days, Google will continue to trade in the direction of the break.

Watch for a break to the upside. If it occurs, Google can quickly reach $457 in coming weeks. If not, there is support at the $330 bear market closing lows.

Kollar is editor and chief analyst at FibTimer.com (http://www.fibtimer.com) which offers market timing strategies for S&P and Nasdaq index fund traders, as well as bond, gold, small cap, sector, ETF and stock trading strategies.

Kollar’s research has shown that the financial markets are in tradable trends approximately 80 percent of the time. FibTimer strategies define trends and trade them in both advancing and declining markets. Caring nothing about what newscasters say or what the latest economic indicator predicts, trends are where the profits are, and that is where FibTimer is.

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