Google on track to close around $123.39 after losing 1.97%

The search engine giant is sliding down from $125.87 to $123.39, taking a 1.97% loss as it nears the end of the session.

Google is currently trading at $123.39 following the release of Fed Chair Powell speech data from the United States.

Amid the market gloom, United States New Home Sales (Apr) released today at 14:00 UTC with a figure of 683,000, while the previous figure was 656,000. United States Services PMI came out at 55.1, while a consensus of analysts was expecting 52.6. United States Building Permits came out at 1.15 million.

Trend-following investors would be interested to note that Alphabet made an initial break below its 3 day Simple Moving Average at $124.21, a possible indication of a forthcoming negative trend. Momentum evaluation shows that according to technical analysis of Google's Relative Strength Index (RSI), the market is currently overbought. As the trading day comes to an end, chart analysis indicates Google fell below the $123.86 support zone and moved 47 cents beyond it; the next level of support with significant buyer interest is estimated at $121.86.

Overall, the technical outlook suggests Google is likely to remain muted for the immediate future, with no clear-cut direction.

In the meantime, negative performances are also seen in other communication services stocks as AT&T is trading around $16.2 (down 1.13%). Comcast is down to $40.64, losing 1.45%, after ending yesterday at $41.24.

Positive performances can be seen by looking at other communication services stocks as Verizon is trading at $36.34 after ending yesterday's session at $35.96 (up 1.04%).

With markets struggling for positive sentiment, upcoming macro data could potentially attract buyers in the market as projections for United States Crude Oil Inventories are set for a continuation of decline with -920,000 while previous data was 5 million; data will be released tomorrow at 14:30 UTC.

Furthermore, United States FOMC Meeting Minutes will be released tomorrow at 18:00 UTC.

The stock has been trending positively for about 2 months. The leading search engine company now trading 37.11% above its 3-month low of $83.49.