Core Viewpoint - Alphabet's stock has experienced a significant rally, but technical indicators suggest a potential cooldown due to overbought conditions [1][3]. Stock Performance - As of November 29, 2025, Alphabet's stock price has increased by over 16% in the past month, reaching $320 [1]. - The 14-day relative strength index (RSI) stands at 73.73, indicating overbought territory [1]. Historical Context - Historically, RSI levels above 70 have often signaled potential reversals, with stocks likely to face pullbacks or corrections in subsequent weeks [3]. Reasons for Rally - The launch of Gemini 3, Alphabet's new AI model, has generated significant investor interest due to its advanced capabilities [4]. - Gemini 3's integration across Google Search, Google Cloud, and productivity tools is expected to drive strong AI-driven revenue growth [5]. - Berkshire Hathaway's $4.9 billion stake in Alphabet has bolstered investor confidence and provided a strong endorsement of the company's long-term prospects [5]. Market Sentiment - Favorable broader market sentiment, including rising expectations for Federal Reserve interest rate cuts, has contributed to renewed interest in growth stocks like Alphabet [6].
Google stock flashes major crash signal after historic rally