Alphabet stock targets multi-month high as EMA golden cross and Fed outlook align
The stock stayed above its 100-day exponential moving average
Alphabet’s stock price is showing renewed strength this week as bullish momentum extends into Wednesday’s premarket session.
After closing Tuesday at $172.85, GOOGL is now trading near $173.50, slightly above the previous day’s high. These signals firm investor sentiment, placing the stock within reach of last week’s peak at $176.80, just about 2% away.
- GOOGL trades above $173.50 ahead of the FOMC statement
- Golden cross supports upside as RSI trends near 63
- FOMC tone on 2025 rate cuts may decide next leg above $176.80
This week’s gains build on the bullish tone seen in the previous week, when GOOGL surged above its two-month range. However, the strong rally ended with a sharp retracement, accompanied by higher volume, suggesting a round of profit-taking. That said, technical support levels held firm. The stock stayed above its 100-day exponential moving average, and none of the key moving averages were broken.
GOOGL stock price dynamics (Sept 2024 - May 2025). Source: TradingView
What’s more, a bullish crossover has formed as the 20-day EMA recently crossed above the 50-day EMA at $163.80. This technical formation is often referred to as a golden cross and suggests a continuation of upward momentum. Supporting this is the daily RSI, which has been climbing steadily through April and now stands at 62.9, indicating healthy buying interest without yet entering overbought conditions.
GOOGL stock faces resistance at $176.80 unless FOMC confirms dovish tone today
Fundamentally, market sentiment has also been shaped by broader macroeconomic expectations. Traders are pricing in the likelihood of at least two 25 basis point interest rate cuts by the Federal Reserve in 2025. These expectations are grounded in recent signs of easing inflationary pressure and have provided a supportive backdrop for tech stocks like Alphabet.
The FOMC meeting scheduled for later today could act as a catalyst. Depending on the tone of the minutes, particularly regarding the timing and scale of any rate cuts, GOOGL could either extend its rally or face resistance if the outlook proves less dovish than expected. Investors will be paying close attention to any signals on growth projections, inflation guidance, and future policy direction.
For now, the short-term outlook is tilted to the upside. A sustained break above $173.50 could drive price toward the previous week’s high. If buyers push beyond $176.80, GOOGL may aim for new multi-month highs. On the downside, support lies near the 20-day and 50-day EMA crossover zone, which now serves as a key reference for dip buyers.
Alphabet stock broke above its March high to hit $176.78 before reversing sharply on bearish pressure. Price dropped to $168.3 as sentiment weakened despite the earlier 7.4% weekly gain.
