Big Cloud Companies' Results to Test AI-Driven Rally in US Stock Market

GOOGL shares are facing a news headline supporting AI-driven growth expectations. Technical indicators show the stock is in a short-term uptrend; the RSI at 68 is approaching overbought territory but is not yet at dangerous levels. The MACD is in a positive position above the signal line, indicating continued momentum. The price is trading above the 20- and 50-day moving averages, supporting the upward trend. However, the impact of the news may be limited, and caution is advised as the market tests the broader AI-driven rally.

The headline notes that the results of major cloud companies will test the AI-driven rally. This could create uncertainty for companies like NVDA that produce AI chips. Technical indicators also point to weakness: the RSI is near oversold territory at 36, the MACD is below the signal line, and the price is below both the 20-day and 50-day moving averages. A 2.1% decline in the last 24 hours indicates continued selling pressure. The short-term downtrend is likely to persist.

AMD, a stock closely tied to artificial intelligence-driven growth expectations, could benefit positively if major cloud companies' earnings confirm their AI investments. Technical indicators support this view: the RSI at 60.8 is in neutral territory but signals an upward trend, the MACD is above its signal line and positive, and the price is trading above both the 20-day ($351.38) and 50-day ($342.25) moving averages. The latest close at $355.32, up 0.95% daily, reinforces short-term momentum. However, as the news impact has not yet been fully priced in and due to broader market uncertainties, the upside expectation remains limited with moderate confidence.

MSFT shares are trading below their 20- and 50-day moving averages despite a slight 24-hour uptick, indicating short-term weakness. The RSI stands at 44, neither oversold nor overbought, suggesting weak momentum. The MACD line is below the signal line and in negative territory, confirming a bearish trend. News headlines note that results from major cloud companies will test the AI-driven rally, which could create uncertainty for MSFT. In the near term, the price may fluctuate at current levels or experience a slight decline.