Chart alert: Alphabet (GOOGL) medium-term uptrend at risk of bearish reversal below $353.60/367.16

• Strong fundamentals, but timing risk rising: Alphabet heads into Q4 earnings with solid expectations (15.4% YoY revenue growth) and has outperformed the S&P 500 YTD, yet price momentum is showing signs of exhaustion despite strong AI and cloud-driven fundamentals.
• Medium-term uptrend at an inflection point: The uptrend from April 2025 is at risk of a bearish reversal if prices fail below the 353.50–367.16 resistance zone and break under 321.50 (50-DMA), opening the door to a multi-week correction toward 296.12 and potentially 270.70.
• Technical warnings are stacking up: A “Dark Cloud Cover” reversal pattern, bearish RSI divergence at overbought levels, and weakening volatility-adjusted relative strength versus the S&P 500 all point to fading upside momentum and elevated downside risk.

Alphabet Inc, the parent company of Google, will report its Q4 earnings results after the close of today’s US session (Wednesday, 4 February).

Sell-side analysts expect Alphabet’s Q4 revenue to hit $111.4 billion, a 15.4% year-on-year increase, with adjusted earnings per share projected at $2,64, following a revenue beat in Q3.

Read more: Alphabet (GOOGL) Q4 Earnings Preview: Can AI and cloud momentum sustain the $4 trillion valuation?

So far, Alphabet's share price has outperformed the major US stock indices and ranked in the top of the Magnificent 7 group, with a year-to-date gain of 8.5% as of 3 February 2026, surpassing the S&P 500 (+1.1%) and the Nasdaq 100 (+0.4%) (see Fig. 1).

However, Alphabet's momentum conditions are now flashing warning signs that suggest the ongoing medium-term uptrend phase in place since the 7 April 2025 low of 140.53 may be over, and it may undergo a multi-week corrective decline sequence next.

Let's look at the technical chart of Alphabet

The current medium-term trend phase of Alphabet from 7 April 2025 is likely to have reached an inflection zone that may trigger a bearish reversal scenario.

Watch the 353.50/367.16 key medium-term pivotal resistance. A break with a daily close below 321.50 (also the 50-day moving average) increases the odds of a multi-week corrective decline sequence unfolding towards the next medium-term supports of 296.12 (also the 23.6% retracement of the up move from 7 April 2025 low to 3 February 2026 high), and 270.70 (also the 38.2% retracement of the up move from 7 April 2025 low to 3 February 2026 high) (see Fig. 2.)

On the other hand, a clearance with a daily close above 367.16 invalidates the bearish reversal scenario for a continuation of the bullish impulsive sequence towards the next medium-term resistances at 389.10 and 411.06/424.63.

• The combination of Alphabet’s price actions seen on Monday, 2 February, and Tuesday, 3 February has formed a bearish reversal candlestick pattern called “Dark Cloud Cover”.
• The daily RSI momentum indicator flashed out a bearish divergence condition at its overbought region on Tuesday, 3 February, which reinforces the potential bearish reversal scenario.
• The volatility-adjusted relative strength (VARS) of Alphabet against the S&P 500 exchange-traded fund (SPY) has started to turn down (shaped a “lower high”) above zero and traded below its 50-day moving average. These observations suggest the relative strength of Alphabet against the S&P 500 is losing momentum.

Read more on VARS: How to prevent the high-beta trap and find the relevant stocks