NEW YORK (TheStreet) -- So far this year Apple (AAPL), Google (GOOG) and Amazon (AMZN) have been playing a game of leapfrog in terms of mojo trading and setting new all-time highs. As I wrote Thursday in Apple Shifts to Mojo Status From Value Stock, Apple returned to mojo leadership this week, breaking out above its 200-day simple moving average at $468.29. Apple as a mojo stock appears headed for my annual pivot at $510.64.
Google set its all-time high, at $928.00 on July 15, three days before missing earnings estimates by $1.29, earning $7.75 a share. This is when the stock began to lose its mojo. Some Wall Street analysts had to be embarrassed after raising price targets to $1,000 before this disappointing earnings report. Google traded back and forth around its 50-day SMA since reporting results, until this week, when the stock stayed below this average, which is now a resistance, at $891.44. The downside is to the 200-day SMA at $800.85.
The weekly chart for Google shifts to negative today, given a close below the five-week MMA, at $883.77. The stock already has declining weekly momentum, with a 12x3x3 weekly slow stochastic reading, at 64.01. Remember that readings declining below the overbought threshold of 80.00 are negative. The 200-week SMA is at $623.17. I mention this as Apple's huge correction ended with a test of its 200-week, the week of June 29.Google ($859.66) has a hold rating, according to ValuEngine, and is 26.9% overvalued, which is a long way from being considered a value stock. The stock has an elevated 12-month forward P/E ratio of 22.2 and is trading at 4.7 times book value.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV