Goldman Sachs is getting hyped in the financial media just days before its scheduled earnings announcement. Perhaps I am wrong, but this seems like a ploy to dupe the investing public to bid up the stock while professionals may be looking to dump it on the announcement. I hate to be so cynical, but it seems too obvious.
The new target that I heard given this morning is simply the 61.8% retracement of the 2007/8 decline at around 175. Are banks and brokerage firms simply using basic technical analysis now instead of fundamental analysis after so many of them fired their technical analysts? That could be really dangerous indeed.
My take is that GS trades sideways to down instead of up, possibly down to 120 to 125. If it can hold that level, it may make another attempt on the upside, but who knows, maybe it really is as simple as drawing fib levels and buying upgrades.
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