Meta stock price forecast: $594 support as META falls 1.46% to $602.27

Traders Union
All News
Financial News
Meta slides 1.46% on layoffs today

Highlights

Meta is restructuring globally, laying off about 8,000 employees and reallocating 7,000 roles to focus on artificial intelligence initiatives.
Management forecasts capital expenditures of $125 billion to $145 billion in 2026 to support AI infrastructure, drawing investor scrutiny after recent share declines.
Meta stock trades below major moving averages amid sustained bearish momentum, with a projected trading range of $594 to $631 and heightened risk of further downside.

Job cuts and AI pivot accelerate as market scrutinizes capex surge

Meta has initiated a major global restructuring by notifying approximately 8,000 employees of layoffs, accounting for about 10% of its global workforce. This restructuring is part of a broader shift to accelerate the company’s artificial intelligence priorities, including the reassignment of 7,000 employees to AI-focused roles and the elimination of several managerial layers. Management indicated that capital expenditures for 2026 are projected between $125 billion and $145 billion to fund AI development and infrastructure, intensifying scrutiny following the share price decline after the latest quarterly earnings, as the market assesses the scale and timing of these strategic investments.

Multiple resistance levels weigh as momentum weakens and bearish signals build

On the technical side, META is trading below its SMA-20 at $628.27, SMA-50 at $620.24, and SMA-200 at $671.87, highlighting resistance at each moving average. The Ichimoku Kijun metric on the daily timeframe stands at $642.03, marking immediate overhead resistance. MACD is firmly negative, generating a Sell signal, while ADX is low at 15.3, implying a weak trend environment. RSI is at 41.38 and CCI at -60.95, both leaning bearish yet not oversold, whereas Bull/Bear Power (BBP) is flagged as oversold at -4.75. The Awesome Oscillator remains neutral on the daily chart but has shifted negative intraday, reinforcing short-term downside momentum. Current price action sits near today’s low within the $600.60 to $610.74 range, with moderate volatility and no notable divergences between leading momentum indicators.

Downside risk dominates as technicals curb rally prospects

Over the next five sessions, META is expected to fluctuate within a typical volatility band between $594 and $631, with sideways consolidation near current levels likely to dominate. There is less than a 20% probability of a significant rally, as bearish technical signals from both daily and weekly timeframes limit the chances of sustained upward movement. A break above $631 would open the possibility of further gains, but if the price falls below $594, a deeper correction could follow, signaling continued downside risk.

Viktoras Karapetjanc, expert at Traders Union, sees Meta’s latest workforce restructuring as a significant fundamental and macro development. He believes aggressive capital allocation toward AI marks a bold, long-term vision, though near-term sentiment is weighed down by recent earnings and technical weakness. Meta’s cost-cutting and realignment may ultimately support future growth, despite market caution. Price stability above $594 is key for support in the short term. "I remain optimistic on Meta’s strategic direction, but would like to see technical stabilization and improved sentiment before expecting a stronger recovery."

Earlier, analysts noted that Meta was experiencing persistent bearish momentum and operational uncertainty amid large-scale workforce reductions and an accelerated shift towards artificial intelligence. The current analysis reinforces this cautious outlook, highlighting that downside risk prevails until the stock can reclaim $631, making this level a critical threshold for any potential reversal.

Source of Data: META Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.