Trading Alphabet This Week

With the Federal Reserve scheduled to raise interest rates on Wednesday, this was going to be an interesting week for stocks. Everything is been very depressed and poised to go up. Alphabet moved up on Monday but failed to pass 1060. This proved to be a substantial area to keep in mind trade in for the rest of the week. I actually did not trade alphabet on Monday, but utilizing what she realized from Monday can help set up your trades for the rest of the week. The market has been up and down and pretty much flat by the end of the day for the past week and a half. Alphabet has followed the market movement.

On Tuesday, Alphabet ended up going up cautiously, but failed again to pass 1060. It went straight down from there. There's big money to be made if you can be patient for it. What was really interesting is how it bounced off of 1040 a couple of times on his way up to 1060. Once it got to 1060, it failed to go higher and went straight down slightly passed 1040. This is the optimal opportunity was to buy puts when it was at 1060 and sell them when it hit 1040.

Wednesday was unlike other days where the Federal reserve announced their interest rates as everything went straight up. Alphabet actually went up and hit 1075 where it failed like the prior

couple of days at 1060. it appears that most of the market was expecting that the Federal reserve would not raise interest rates war have favorable communication regarding a stop to raising interest rates. At 2pm when the rate was announced, everything went straight down and then it went up as Fed Chairman Powell began to speak. At that time he announced that they will be more data dependent and will probably have two more rate hikes in 2019. That is when the market fell further. But as you can see the chart of Alphabet, it bounced off 1019 and went all the way back up to 1040. This look very similar to last Thursday.

On Wednesday afternoon, Alphabet went back down to retest that bottom and stopped at 10:24 where it went back up to 1040. The stalking to the day slightly lower, but looks poised to rebound on Thursday and go higher. I believe when the analyst breakdown the words from the Federal Reserve, the market will have a nice balance from being over sold on Wednesday. That's not to say that it is going to continue going up all day. I would expect the second half of Thursday and most of Friday for the market to be down.