INTC slides over 5% as technical breakdown follows strong selling pressure

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Intel slides 5.22% today after drop

Highlights

Intel implemented ASML's High-NA EUV technology in laptop chip production, achieving strong 18A process yields of 85%.
The company expanded its AI chip manufacturing with a $5.7 billion investment in Ireland, reporting six straight quarters of earnings beats.
Despite these advances, shares are under renewed selling pressure as technical signals turn bearish, with price forecast to range between $92.49 and $109.38.

AI progress and manufacturing wins fail to offset persistent selling

Intel deployed ASML's High-NA EUV system in laptop processor manufacturing, achieving 18A process node yields of 85%. The company also advanced its AI manufacturing strategy with a $5.7 billion expansion in Ireland. These developments were reported alongside the anticipation of Q2 2025 earnings after six consecutive quarters of earnings beats, though price action has remained under broader selling pressure.

Anton Kharitonov, expert at Traders Union, stresses that Intel’s latest selloff deepens technical weakness. He points out that price is suppressed by negative momentum below both the 20- and 50-day moving averages and that short-term support sits on fragile ground at $101.79. He finds the recent production breakthroughs and Irish expansion notable, yet observes that persistent selling pressure signals poor market confidence despite positive news. Kharitonov warns of potential further downside with limited short-term catalysts. "Until buyers reclaim key resistance and sentiment shifts, I see Intel at risk of retesting the lower volatility band," he adds.

Viktoras Karapetjanc, expert at Traders Union, highlights Intel’s strong execution with High-NA EUV deployment and its $5.7 billion strategic expansion in Ireland. He believes the company’s ability to achieve 85% yields at the 18A node and consistent earnings beats form a robust foundation for further growth. Karapetjanc views broader market pressure as temporary, noting the bullish structure remains intact above long-term moving averages. "Intel’s innovation pipeline provides ample opportunity for buyers to re-enter if current resistance is surpassed," he says.

Jainam Mehta, market strategist, sees Intel’s drop as part of a wider sector correction rather than a company-specific flaw. He notes oscillators in oversold territory and elevated volatility, pointing to a high-probability tactical rebound if $101.79 holds. Mehta suggests that a contrarian entry may make sense if momentum signals start to reverse. "A close monitoring of support and any bullish divergence could present a short-term trading setup," Mehta remarks.

Short-term control shifts to sellers as oversold signals intensify

Intel is currently trading below its 20-day and 50-day moving averages ($122.97 and $117.37), but remains well above the 200-day moving average at $63.20. This suggests sellers have recently taken control in the short to medium term, even as long-term momentum stays bullish. Immediate resistance stands at $104.17, with support just below at the week low of $101.79. The MACD and ADX indicate waning momentum. RSI, Stochastic RSI, CCI, and BBP all reflect oversold conditions, with BBP confirming intraday seller dominance. The Awesome Oscillator also points to further weakness. The stock trades at $101.89 after a sharp intraday slide. Volatility is elevated at 4.99%, with notable downside gap pressure at the open.

Previously, analysts noted that while Intel's operational improvements and expansion efforts supported long-term momentum, sustained selling pressure posed ongoing downside risks. The current technical setup reinforces this cautious outlook, with a decisive move below $101.79 likely to trigger additional downside toward $92.49 in the near term.

Source of Data: INTC Price Analysis by TU

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

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