Buying Google On Weakness | IBD Live

TL;DR

Alphabet's stock (Google) has experienced significant growth since March/April due to the potential of AI, but the speaker admits to not handling it differently despite recognizing its potential.

Transcript

[Applause] So speaking of alphabet Scott let's go there this was one that you were trading as it was uh bottoming and and turning and if I do recall Scott I don't know we could roll the tape uh I think at the time you said that you wanted to handle this one differently that you know there's a lot of game-changing potential related to AI and it's it... Read More

Key Insights

• 🙈 Alphabet (Google) stock has seen significant growth since March/April due to its potential related to AI.
• 😨 The speaker admits to personal trading flaws, including wavering in conviction and fearing the market knows more.
• 🧑‍💻 The performance of tech giants like Google and Meta (formerly Facebook) is significantly better compared to companies like Apple, Amazon, Netflix, and Tesla.
• ✋ Trading Google stock requires a long-term outlook and buying on weakness with a percentage-based stop loss.
• 🤑 Despite making several mistakes, the speaker emphasizes that it is still possible to make money in trading.
• 🛀 Institutions have shown interest in Alphabet (Google) stock.
• 💦 The speaker emphasizes the importance of recognizing personal trading flaws and working on improving trading strategies.

Questions & Answers

Q: Why did the speaker not handle Alphabet (Google) stock differently despite recognizing its game-changing potential?

The speaker admits to personal trading flaws, including wavering in conviction and fearing that the market knows something they don't. They tend to move on if the stock does not perform as expected.

Q: How does the trading community perceive Alphabet (Google) stock?

While Alphabet is seen as the best in breed and a big company, it may not experience rapid short-term gains. Institutions have shown interest, but personal trading flaws can affect individual trading decisions.

Q: What is the speaker's approach to trading Google stock?

The speaker suggests buying Alphabet (Google) stock on weakness, such as when it comes down to the moving average or consolidates for a period of time. They recommend using a percentage-based stop loss and taking a long-term outlook for potential gains.

Q: How does the speaker view the overall performance of tech giants in the market?

The speaker notes a divergence in performance among tech giants. While Meta (formerly Facebook) and Google are making new highs, Tesla, Netflix, Amazon, and Apple are not looking promising.

Summary & Key Takeaways

• The speaker admits to not handling Alphabet stock differently despite recognizing its potential related to AI.

• They mention their difficulty in maintaining conviction and often doubting their own analysis.

• The speaker highlights the divergence in performance among tech giants, with Meta (formerly Facebook) and Google doing well, while Tesla, Netflix, Amazon, and Apple are struggling.