Remember my post from a little over a week ago, about how to trade Alphabet Inc Class A (NASDAQ:) successfully in the coming days?
Now, I need to update you on the trade and what to do now.
Here was the original chart that I posted:
But now it has reached reistance, and if you are still long on the trade, the best part is, the resistance has been broken. Wednesday, in fact, it broke resistance and even with the market showing some weakness on Thursday, it is still holding its own.
But you also want to make sure you don’t turn into a bagholder, just in case this stock can’t keep a good thing going. So for me, I would be inclined to raise my stop-loss to a shade under $981, which marks the lows of the previous pullback that occurred on Monday and Tuesday of this week. That’s because at this point in the trade, the last thing you want to risk is for a winning trade to turn into a losing trade. It is demoralizing, and if the stop-loss does get hit, you’ll at least know that the trend line you were following isn’t there anymore and it is time to move on to the next trade.
All the while, you get to make some profits off of the trade.
Here’s my latest update on the chart from above. Let me know if you have any questions about it in the comments!