Brazil's Finance Minister Pledges Reciprocity in Response to US Tariffs

GOOGL stock is displaying a weak technical outlook. Although the RSI is approaching oversold territory at 33, MACD values remain below the signal line and in negative territory, indicating continued bearish momentum. The price is trading below both the 20-day and 50-day moving averages. The news headline notes that Brazil is set to retaliate against US tariffs, which could escalate global trade tensions and put pressure on technology stocks. In the short term, selling pressure is likely to persist, but given the oversold conditions, a controlled decline rather than a sharp drop can be expected.

The news indicates that Brazil will retaliate against US tariffs, which could escalate trade tensions and put pressure on BR shares. However, technical indicators are sending mixed signals: the RSI is in neutral territory just below 50, while the MACD line remains below the signal line, suggesting weak short-term momentum. The price closed just below the 20-day SMA (150.35) but held above the 50-day SMA (148.87), pointing to a balancing point. Despite a 1.82% gain in the last 24 hours, uncertainty from the news and technical resistance make it difficult to determine a clear direction. Therefore, I expect a sideways trend in the short term.

Brazil's promise of reciprocity against US tariffs could escalate trade tensions, putting pressure on the BOVESPA. Technical indicators already present a weak outlook, with the RSI near the sell zone at 41, the MACD below the signal line and negative, and the price trading below both the 20-day and 50-day moving averages. The 1.24% decline in the last 24 hours indicates sustained selling pressure. In the short term, the index faces a high risk of further pullback.