Does Google Epitomise The Technology Sector?

Discussion in 'General Trading Discussion' started by Chartman, Nov 5, 2018.

  1. Chartman

    Chartman Senior Investor

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    Google (now known as Alphabet) has been one of the best performing shares of all time coming from nothing to dominate the search engine industry. However, does the recent rise and fall of Google epitomise the technology sector?

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  2. Buyonthedips

    Buyonthedips Senior Investor

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    The share price seems to be following the 20 day moving average downwards at the moment. No need to rush in just yet but one to watch because when tech shares do rally Google will be up there with the best of them.
     
  3. longtermbull

    longtermbull Administrator Staff Member

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    I think you have hit on a good point there - find shares which reflect the performance of indices and sectors. However, these stocks will need carefully monitored because if they fall out of favour they might not be the index/sector bellweather going forwards :)
     
  4. Chartman

    Chartman Senior Investor

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    I see this in a similar way to Amazon - a screaming buy on weakness. Try to look beyond the short term and focus on the longer term. Unless they do something drastically wrong, the likes of Google and Amazon seem destined to go from strength to strength.
     
  5. gowiththeflow

    gowiththeflow Senior Investor

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    I have a feeling we might be able to get into Google at around the $1000 level in the short term - keep an eye. If the techs wobble then Google will be leading the way down - and then the way back up :)
     
  6. longtermbull

    longtermbull Administrator Staff Member

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    Looks like tech stocks have taken a hit after rumours that Apple is experiencing weaker than expected demand for the new iPhone. I would guess there might be more bad news to come for the sector?
     
  7. Chartman

    Chartman Senior Investor

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    Like so many leading technology companies today, Google would appear to be a buy on weakness. Searching engines are here to stay and becoming ever more influential in our daily lives. Perhaps the biggest threat to Google, similar to the threat Microsoft has faced, is government and regulatory interference around the world. Is Google becoming too influential? If so, how might governments and regulators look to redress the balance?

    In reality, any concerted effort by governments and regulators to rein in the power of Google will be blocked with every legal tool to hand. Keep a close eye on this one.
     
  8. Buyonthedips

    Buyonthedips Senior Investor

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    Will Microsofts re-emergence like a Phoenix from the flames erode Google's market share in anyway?
     
  9. Chartman

    Chartman Senior Investor

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    That is a fairly decent bounce but todays news on US interest rates has probably given the whole sector a boost :)

    Still a buy for the long term in my view even with the threat that governments and regulators will at some point no doubt try to do a "Microsoft" and curtail the company's influence and power.
     
  10. gowiththeflow

    gowiththeflow Senior Investor

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    Looks like we missed the bounce off $1000 however I have a feeling we may see that level again in the near future.
     

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