Google’s Alphabet stock (NASDAQ: GOOG) opened at $273 on Monday and has fallen nearly 14% year-to-date, according to market data. Technical analysis indicates the shares are currently oversold, with the 14-day Relative Strength Index sitting at 18.2. The stock is hovering near its 200-day Simple Moving Average, a key support level around $263. Upcoming Q1 2026 earnings on April 23 are seen as a potential catalyst for a rally.
Google‘s Alphabet stock opened at $273 on Monday’s trading bell and has fallen nearly 14% year-to-date. GOOG shares are currently oversold and NASDAQ: GOOG shares are projecting a bear trap narrative in the charts. Alphabet has plunged below its 50-day and 100-day Simple Moving Averages. It is now hovering dangerously close to its 200-day SMA, which is currently around $263.
The SMA has now drawn a line in the sand and is in a boundary between a healthy correction and a full-blown bear market. Current charts project a ‘mean reversion’ for Google’s Alphabet stock as it bounces off ongoing long-term support. The chart indicates a Relative Strength Index springboard effect for GOOG. The 14-day RSI for Alphabet is currently sitting at 18.2, and anything below 30 is considered heavily oversold.
An RSI this low can be viewed as a rare opportunity for Magnificent 7 stocks. Historically, when Google’s RSI hits the sub-20 level, it is followed by a sharp relief rally. Similar to the historical context in the charts, Google’s Alphabet stock could briefly rally in April 2026. GOOG can be a coiled spring that can snap back toward the $315 resistance level.
Alphabet’s Q1 2026 earnings will be announced on April 23. This will act as a catalyst to its upward price trajectory. Stock prices often tend to run up in anticipation of the earnings call. Google’s Alphabet stock remains safe due to its $70 billion annual run rate for Cloud services. Its Gemini 3.0 integration also shows 750 million monthly users. There is a disconnect between its fundamental strength and the technical weakness of Google’s Alphabet stock.
