Shares of Alphabet (NASDAQ:GOOGL) surged on Wednesday as the market reversed early losses and spiked dramatically higher. It was the first day since the massive collapse last week where investors ignored the negatives and bought the dip. To give an example of this, look at yields on the 10-year bond. They are hitting 2.90% on the back of higher inflation data, which would have been a major negative last week but after a gap lower, investors are ignoring it and buying the market. This shows us a resurgence of the buy-anything-and-everything mentality, a good sign for those wanting the markets to move higher so they can get off a good short.
Short Target
After reporting poor earnings, Alphabet is a prime candidate for a short when the right price target is hit. That price target is $1,182.00 – a major gap fill and close to a major double top. If the price of Alphabet hits that level, it becomes a strong, high-priority short trade. I will be laying in wait to take it myself.
