Alphabet drops below Fibonacci midpoint as RSI flashes sell signal
Alphabet loses bullish momentum
Alphabet stock is trading near $172.9 in the Friday premarket session, marking a 0.86% weekly loss and a trimmed month-to-date gain currently at 1.14%. The price action highlights a clear weakening from the early June high of $181 per share, as the stock struggles to hold critical support zones.
• Alphabet trades near $172.9 after breaching key short-term support at $175
• Momentum flips bearish as RSI slips and price drops below Fibonacci 50% retracement
• Focus shifts to $171.4 support levels as GOOGL lags behind Magnificent Seven peers
The decline continued during the midweek session after a breakdown below a short-term two-day consolidation range that had been supported by the $175 level. Despite its recent strength, this support gave way under renewed selling pressure. The breakdown also dragged the stock below the midpoint of its previously rising channel structure, which had provided directional momentum since April.
GOOGL stock price dynamics (May - June 2025). Source: TradingView
Technically, the breach of $175 opened up lower targets. By Friday morning, the stock had fallen further to breach the week’s earlier low at $173.37. That low was aligned with the Fibonacci 50% retracement level from June’s prior upswing. But the current premarket price now sits below that Fibonacci support, highlighting a further loss of bullish structure.
Alphabet breaks channel mid-line as momentum weakens into June’s second half
The short-term momentum outlook has also flipped bearish. The 4-hour relative strength index has now moved into bearish territory, suggesting sellers are gaining control of the near-term trend. This confirms the visual pattern seen across the past few sessions where each bounce attempt has been met by renewed selling.
Looking ahead, if Alphabet stock breaks below the previous week’s low at $172.4 during Friday’s trading, technical attention will shift to the 20-day exponential moving average at $172. That area is closely aligned with the Fibonacci golden ratio at $171.4 and may serve as the next structural support if the current decline extends.
On the upside, the broken $175 level now becomes near-term resistance. Alphabet’s performance has also begun to lag behind the broader group of Magnificent Seven tech stocks, signalling a short-term divergence in strength. Until buyers reclaim levels above $175, pressure could persist, especially as broader tech sentiment becomes more selective in AI leadership.
Alphabet held above $170 as the 20 EMA supported the consolidation near $175. Price hovered below $177.4 while RSI stayed bullish around 56, suggesting more upside.
