Universal Music to Sell Half of Spotify Stake for Buyback, Weak Dollar Hits Q1

Universal Music’s sale and subsequent repurchase of Spotify shares has generated pressure from a significant stakeholder. The stock fell 6.3% in the first 24 hours, with the Relative Strength Index (RSI) at 29—placing it in the oversold region—and a negative MACD, both technical indicators signalling a decline. The price remains below the 20‑ and 50‑day moving averages, underscoring a downward trend. A weaker dollar in the first quarter could also negatively impact the company’s revenues. In the short term, a decline in SPOT is expected.

Although the news relates to Universal Music selling Spotify shares and the impact of a weak dollar, it does not directly affect GOOGL. Technical indicators show the RSI approaching overbought territory at 68, while the MACD has fallen below its signal line, increasing the likelihood of a short-term correction or sideways movement. The price remains above the 20-day SMA, but momentum is weakening. Therefore, it is difficult to determine a clear direction, and the market may be expected to stabilize at current levels.