Todd Gordon: Alphabet Can Pass $800 After Earnings

While analysts aren't expecting a game-changing number to come out of Alphabet Inc Class C (NASDAQ: GOOG) (NASDAQ: GOOGL)'s earnings report on Monday, a beat (and strong ad EBITDA numbers) could send the stock above $800.

"The option markets are looking for a $61 move" for the stock after earnings, technician Todd Gordon recently told CNBC.

"That matches up with the old highs here in Google, right around the $800 region, and we possibly could exceed that high if the options markets are right," Gordon added. He said the options markets are pointing to upside near $809, while the technicals show upside in the $830 to $840 region.

Shares of Google currently trade near $750.

"Go ahead and look to trade the long side," Gordon said, but added that if the $690 downside level is broken, bullish investors might want to rethink their strategy.

The key numbers for Alphabet heading into the report:

• 55% ad EBITDA margin (in newly reported "other bets" category)
• Estimize consensus EPS of $8.17, revenue of $16.892 billion
• Wall Street consensus EPS of $8.09, revenue of $16.9 billion