Nvidia and CEO Huang sued over statements regarding alleged Chinese espionage

NVDA is already under strong selling pressure; it has fallen 12.5% in 24 hours and, with an RSI of 34.6, is approaching the oversold threshold. The price is trading below the SMA20 and SMA50, and MACD is in negative territory and below its signal line; the technical picture is weak in the short term. News of a lawsuit concerning Chinese espionage allegations could feed the existing negative momentum by increasing geopolitical and reputational risk. However, because the RSI is close to oversold territory and the news has not yet produced a concrete financial impact, the decline may remain limited. I therefore see the direction as downward but keep confidence at a moderate level.

The news directly targets Nvidia, not GOOGL; its impact on Alphabet would be indirect and limited. Technical outlook is mixed: price slightly above SMA20 and SMA50, RSI around 50 neutral, MACD above signal but weak. The 1.2% decline over 24 hours indicates short-term momentum has softened. If risk appetite deteriorates in the semiconductor sector, there could be a mild negative spillover to tech stocks, but there is no clear catalyst specific to GOOGL. Therefore, for 1-3 days, I expect direction to be uncertain with a neutral bias.