Will SoFi stock hold $17.64 support as oversold conditions limit further selling?

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SoFi drops 3.12% to $18.32 today

Highlights

SoFi Technologies reported record second quarter loan originations totaling $14.8 billion, indicating substantial growth in business activity.
Increased lending and member adoption suggest expanding core operations and future earnings potential for the company.
Shares of SoFi Technologies trade below key moving averages with short-term pressure; expected to range from $17.64 to $19 in coming days, with a higher probability of a down move.

Expansion in loan originations fails to outweigh selling pressure

SoFi Technologies posted record Q2 loan originations of $14.8 billion, reflecting a substantial increase in business volume and product engagement, as reported by Simplywall. This growth in lending activity and member adoption signals expanding core operations and positions the company for future earnings momentum. The positive results have not offset the prevailing selling pressure in the stock.

Mixed signals from momentum and oversold conditions amid resistance

On the technical front, SOFI is currently trading below the MA-20 ($18.46) and MA-50 ($18.35) on the hourly chart, as well as below the MA-200 ($20.51) on the daily chart. The Ichimoku Kijun on the daily timeframe marks immediate resistance at $18.45. MACD and ADX both indicate buy signals, while RSI stands at 47.47 (pointing to a sell), and the Stochastic RSI is in oversold territory. CCI is neutral, Bull/Bear Power suggests intraday sellers are in control, and the Awesome Oscillator remains neutral.

Directional uncertainty heightened within tight volatility band

In the short term, SOFI is expected to trade within a range between $17.64 and $19. Over the next 2–3 trading days, there is a 53% probability of a move lower and a 47% chance of an upward direction, suggesting continued sideways price action within this volatility band. A break above $18.45 would pave the way for a bullish scenario, while a drop below $17.64 could trigger further losses.

Viktoras Karapetjanc, expert at Traders Union, sees ongoing fundamental strength at SoFi despite the recent technical weakness. He notes the company's record Q2 loan originations and member growth as key drivers supporting future operating momentum. The analyst believes that, while short-term selling pressure remains, SoFi’s expanding core business offers a solid macro and fundamental backdrop. He expects range-bound trade until a break above $18.45 sets a clearer direction. "A strong business performance gives SoFi a constructive setup, and once buyers regain control above resistance, the upside potential could quickly return."

Earlier, analysts noted that while institutional investment and strong fundamentals supported SoFi, technical signals pointed to continued caution. While current downside momentum persists, traders should closely monitor the $18.45 resistance and $17.64 support levels for potential breakouts that could define the next directional move.

Source of Data: SOFI Price Analysis by TU

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

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.