GOOGL Elliott wave Forecast For Nov 16, 2023 – Long Term Target Wave 3 = 210
Elliott Wave Analysis is a popular technical analysis tool used by traders and investors to predict future price movements in financial markets. It was developed by Ralph Nelson Elliott in the 1930s and is based on the theory that market prices follow repetitive patterns or waves. These waves can be used to identify potential buying or selling opportunities.
In this article, we will explore the Elliott Wave analysis specifically for GOOGL, the stock symbol for Alphabet Inc., and discuss the long-term target for Wave 3.
Understanding Elliott Wave Theory
Before we dive into the analysis for GOOGL, let’s first understand the basics of Elliott Wave Theory. According to Elliott, price movements in financial markets follow a specific pattern of five waves in the direction of the main trend, followed by three corrective waves. These waves are labeled as 1, 2, 3, 4, and 5 for the impulse waves, and A, B, and C for the corrective waves.
The impulse waves represent the main trend, while the corrective waves are countertrend movements. Each wave can be further divided into smaller degree waves, creating a fractal pattern. The theory suggests that these waves are driven by investor psychology and market sentiment.
GOOGL Elliott Wave Analysis
Now let’s apply the Elliott Wave analysis to GOOGL. In the reference article, it is mentioned that the 1st wave for GOOGL was from 83 to 143, while the 2nd wave was a gap down on earnings to 120. Based on this information, we can analyze the potential target for the 3rd wave.
According to the Elliott Wave theory, the 3rd wave is usually the strongest and longest wave in the sequence. To determine the target for the 3rd wave, we need to look at the retracement levels and the Fibonacci extension.
The reference article states that if GOOGL can clear 141 at the 1.00 retracement level decisively, the target for the 3rd wave would be 210. It also mentions that GOOGL has already broken the .786 retracement level, suggesting that 210 is the minimum target based on a 1.618 X W1 3rd wave.
Long-Term Target for Wave 3
Based on the analysis, the long-term target for Wave 3 in GOOGL is 210. This target is derived from the Fibonacci extension and the breakout above the 1.00 retracement level.
It’s important to note that Elliott Wave analysis is subjective and requires interpretation. Traders and investors should use additional technical indicators and fundamental analysis to support their decision-making process. It’s also crucial to set stop-loss levels to manage risk and protect capital.
Conclusion
In conclusion, Elliott Wave analysis is a powerful tool used by traders and investors to predict future price movements in financial markets. By identifying repetitive patterns or waves, analysts can determine potential buying or selling opportunities.
In the case of GOOGL, the long-term target for Wave 3 is 210, as derived from the Fibonacci extension and the breakout above the 1.00 retracement level. However, it’s important to conduct further analysis and consider additional factors before making any trading or investment decisions.
