NOW shares slide with strong selling pressure near $100.36 support: weekly forecast

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ServiceNow falls 6.62% this week

Highlights

ServiceNow trades decisively below key moving averages, signaling medium- and long-term bearish control over the trend.
Momentum and oscillators, including MACD and RSI, confirm persistent selling pressure with no indicators suggesting a near-term reversal.
Expected price range for the coming week is $96.50 to $104.50, with a high likelihood of further downside or sideways consolidation near support.

Buyback expansion and partnerships bolster sentiment amid robust cash flow

ServiceNow has authorized an additional $5 billion for share buybacks, including a $2 billion accelerated repurchase at current share price levels. The company also reported free cash flow of $4.576 billion for fiscal year 2025, reflecting a 34% increase. Recent platform collaborations include partnerships with Hitachi Digital Services for AI-driven infrastructure monitoring and Esri's ArcGIS for expanded integration.

Bearish technical signals persist as downside momentum strengthens over the week

On the weekly timeframe, ServiceNow is trading below all major moving averages, confirming a firmly bearish structure with the 20-period MA acting as dynamic resistance overhead. Key support is identified at $96.50, while resistance sits near $104.50. The RSI and Stochastic RSI remain in bearish territory, with MACD signaling a strong sell and ADX indicating a weak but present downtrend. Additional indicators, such as the CCI and Bull/Bear Power, reflect indecisive momentum but confirm that recent upside attempts have faded.

Sideways trade favored next week as breakout risks frame outlook

For the next five trading days, NOW is expected to move within a range of $96.50 to $104.50, with strong selling pressure limiting upward reversals. The most likely scenario is sideways movement near the week's low, unless new buying activity emerges. A breakout above $104.50 would suggest renewed recovery potential, while a breakdown below $96.50 would expose the stock to further downside risk.

Parshwa Turakhiya, analyst, sees ServiceNow enduring a challenging week as sellers dominate and momentum indicators send clear bearish signals. The stock’s failure to hold above key moving averages keeps sentiment cautious, with upside attempts fading quickly. Recent buyback news and robust cash flow offer longer-term positives but fail to shift near-term price action. Turakhiya believes the coming week will likely see range-bound trading between $96.50 and $104.50, with further downside risk if support is breached. "I am watching the $96.50 level closely — unless buyers step up, the safest play is protecting capital until new momentum builds."

Earlier, analysts noted that ServiceNow’s outlook was pressured by persistent bearish momentum, with sentiment overshadowing the company’s AI and growth initiatives. The latest combination of further technical weakness and expanded capital returns heightens the importance of $96.50 support, as a breakdown below this level could accelerate downside pressure in the days ahead.

Source of Data: NOW 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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