SoundHound AI stock extends rally as price trades above recent average and eyes key resistance

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SoundHound AI jumps 5.00% today

Highlights

SOUN shows strong short- and medium-term bullish momentum, but faces overhead resistance and signs of overbought conditions.
Immediate support sits at $8.82, with supply building near $9.80, setting the boundaries for near-term price action.
Despite recent strength, the probability of sustained gains is low, with a likely trading range of $9.00 to $9.80 and increased downside risk if $8.82 fails.

Bullish technicals and overbought signals as price nears intraday highs

On the technical front, SOUN trades above the SMA-20 at $8.66 and SMA-50 at $7.75, while the longer-term SMA-200 at $11.36 remains overhead as resistance. The Ichimoku Kijun on the daily chart is $8.82, establishing immediate support. Momentum indicators show the MACD in a strong bullish configuration and the ADX at 18.74, indicating an active but not overly powerful trend. RSI is at 59.89 and CCI at 54.89, both aligning with moderate upward momentum; however, Stoch RSI and BBP are deeply overbought at 100.00 and 0.76, respectively, indicating increased buyer pressure and the potential for near-term exhaustion. The Awesome Oscillator remains neutral. Intraday, price action has shown sustained strength toward session highs, with trading occurring near the top of today’s $9.06–$9.52 range and volatility at a moderate to high level.

Sideways drift likely as technical resistance tempers upside risk

Looking ahead over the next five trading days, SOUN is expected to move within a typical volatility band between $9.00 and $9.80. Most longer-term technical signals such as the weekly RSI, ADX, MACD, and the 50-day moving average remain bearish, so the probability of a significant further upward move is low, with less than a 20% chance assigned to further gains. The baseline expectation is sideways movement between the immediate support at $8.82 and resistance close to $9.80. Should SOUN close above $9.80, it could open a path toward $10.20, while a close below $8.82 may trigger a test of the $8.00–$8.50 region.

Viktoras Karapetjanc, Traders Union expert, sees that SOUN shows strong daily momentum, trading above both its short- and medium-term moving averages. The analyst notes a clear upward push intraday and overbought sentiment, but recognizes that macro and longer-term signals are still bearish. He believes upside is possible in the very short term, but expects consolidation between $8.82 and $9.80 unless a breakout occurs. "Right now, momentum favors buyers, but I’d stay constructive only if SOUN closes decisively above $9.80."

In a recent review, analysts highlighted SoundHound AI’s improving momentum and heightened volatility, supported by strong revenue growth and expanding adoption of its AI platforms, though technical signals remained mixed. The latest technical picture reinforces this cautious optimism, suggesting traders should monitor for a potential breakout above $9.80 as a catalyst for renewed bullish momentum in the days ahead.

Source of Data: SOUN 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.