Google stock struggles with $160 resistance after 11% rebound from multi-month lows
Google stock rebounds 11% amid tariff pause but faces $160 resistance.
βGoogle (NASDAQ: GOOG) shares are showing signs of a potential reversal despite over two months of downward pressure.Β
The stock, which had been in a persistent decline, reached a multi-month low near $140 last weekβits lowest level since March 2024. However, a shift in trade policy may have sparked renewed interest in the tech giant.
President Donald Trump's announcement of a 90-day suspension of most reciprocal tariffs provided a temporary reprieve for markets, including Google. Investors, previously anxious about the economic consequences of escalating trade tensions, responded optimistically. The stock saw a remarkable 11% increase over the past week, breaking a four-week losing streak.
Google price dynamics (July 2024 - April 2025). Source: Tradingview
Bearish RSI and $160 resistance signal potential continuation of Google's downtrend
Despite the positive momentum, Googleβs recovery faces significant resistance at $160. This level, which was previously a key support area, now serves as a formidable ceiling for the stock. As of the pre-market session on Monday, April 14, Google is set to open at $159.2, just below the critical resistance level. As seen on the 4-hour chart, the 50 Exponential Moving Average (EMA), which currently sits at $160, reinforces this resistance.
A break above $160 would open the door to further gains, with the next resistance target at $169.1. However, this level is compounded by both the 50-day and 100-day EMAs, creating a layered barrier for any potential upside.
While the price action has shifted positively, the daily Relative Strength Index (RSI) is still in bearish territory, indicating that the broader downtrend may not yet be over. If the momentum falters at $160, the risk of a continuation of the downtrend remains.
In conclusion, while Googleβs recent rally has brought some relief, the stock faces crucial hurdles. A break above $160 could set the stage for a more sustained recovery, but the technical indicators and overhead resistance suggest that a restrained approach is warranted.
Microsoft's stock rebounded sharply over 11% after a 90-day tariff suspension was announced. The rally broke through key resistance levels and reversed technical indicators.
