GOOGL, NFLX updates 09/05

GOOGL: In the last update (see here) I was looking for GOOGL to move lower, so far it has 🙂 My preferred view has the current price action as part of major-4 and we could have completed intermediate-a.  Note price lost it’s uptrend channel, while it did a nice c=a relationship for the minute and minor waves in this current correction.  Ideally we should see a bounce soon, back to around 1240 for intermediate-b, before intermediate-c takes price down to ideally 1000-1100. A simple c=1.618x a, from b targets: 1240 – 1.618 x (1290-1175) = 1240 – 186 = 1054. Right on target IMHO (See Weekly chart). However, minor-c can still extend to 1130s, so no need to long this puppy yet IMHO.

The alternate count is that the whole advance off the late-March low was not all of v  to complete major-3, but only 1 of v. Now minor-2 should thus be underway. A break above 1290 is needed to confirm this thesis. But given the weekly chart, the weekly Fib’s being reached etc, I find this less likely and therefore it is my alternate POV. GOOGL daily.png

googl weekly


NFLX: Different count than GOOGL, and it may have bottomed for all of major-4. The advance since the mid-August low can be counted as five (minor) waves up. Hence, the preferred count is that intermediate-i of major-5 of Primary-V is in and that intermediate-ii is now underway. It can drop still a bit lower to mid-330s or mid-320s, but price cannot go below the August low. If it does, then the view is shifted to an ongoing major-4 wave and we should then be looking for $270s before major-4 is done. For now, a wait and see approach is recommended. A beak above $377 will be a great sign intermediate-iii is underway to ideally around $430-450 depending on where exactly the possible wave-ii bottoms. I’d rather wait for confirmation than to try to bottom fish.

NFLX daily.png