Many a Trader's eyes will be turning to one of the biggest Earnings Announcements in recent memory on Thursday after the close. Google is on the precipice of some very big events, some good and some not so good. First on the list is Google +. While they are still in Beta mode and you must be invited to get in, Google + is expected to make a run after Facebook. If they can even tear away 10-15% of Facebook's revenue (estimated at $2 billion in 2010), that will be a massive new revenue stream for GOOG. Other good news on the horizon for GOOG is the move to the cloud. While they were touted as the first to make it, MSFT has made a big push into the cloud field with the release of Office 365. Competition can be good and bad, however MSFT is stealing much of their thunder with the release of this new product.
On the downside, rumors, confirmed by Google via blog, have been swirling about their potential investigation from the FTC. It is said that the Government is cracking down on their search engine as it is driving its users to their own websites first. I am not sure I understand why they wouldn't, however there seems to be some sort of conflict of interest that is potentially putting GOOG in the crosshairs.
So what does this mean for GOOG? I think we will have some answers this Thursday. All ears will be posted to the conference call and any of this information could send GOOG to the moon, or to demise. That sets us up PERFECTLY for a nice non-directional trade. Want to see what we are trading? Join us Tuesday or Thursday for a Free Live Trade Setup Class. Here is the schedule:
Tuesday, July 12 at 2pm ET
Thursday, July 14 at 1pm ET
To register, go to www.ETNtrade.com/free-events
I look forward to seeing you all there!!!
Happy Trading,
OptionDave
