Alphabet rebounds amid falling volume as Microsoft rally lifts tech stocks
Alphabet rebounds from pullback, holds $161 in early May trading.
Alphabet Inc (GOOGL) shares are attempting to resume their broader uptrend following a brief, low-volume pullback from last week’s peak at $166.20.
The retracement, which marked three consecutive daily declines and dipped to a five-day low of $155.50 on April 30, appears to be stabilising.
Despite the downward move, the 20 and 50 EMA on the 4-hour chart served as strong dynamic support during Wednesday’s session. This technical cushion helped GOOGL shares rebound to close the day with a modest 0.5% gain at $158.80 — a positive end to both the session and the month of April, which closed with a 3.4% monthly gain.
Alphabet’s daily RSI resists bearish shift amid declining volume
The key development going into May is the fading momentum behind the retracement. Volume has declined alongside the pullback, a common signal that selling pressure is easing. Reinforcing the potential for upside, the daily RSI now sits at neutral and appears to be resisting a push into bearish territory. Meanwhile, the 4-hour RSI remains above the midpoint, reflecting underlying strength.
Google price dynamics (Nov 2024 - May 2025). Source: TradingView
In early premarket trading on May 1, Alphabet shares are holding near $161, a 1% increase from Wednesday’s close. This move is partly driven by the broader rally in tech stocks, spurred by Microsoft’s upbeat earnings and bullish guidance, which has reignited sentiment in AI and cloud-exposed names like Alphabet.
Looking ahead, immediate resistance is seen at $164, a level that could be tested if bullish momentum holds. A break above this could open the path toward the 100-day EMA near $169. Except there’s a reversal in sentiment or fresh fundamental setbacks, GOOGL appears poised for a near-term bullish continuation.
Alphabet stock up 5% in premarket trading after reclaiming 50-day MA amid AI investor optimism. Bullish RSI shift supported by price structure and investor sentiment.
