Artem Voloskovets
After weeks of steady selling, Meta Platforms (NASDAQ: META) finds itself at a make-or-break technical level. The stock has pulled back to its 200-day simple moving average (SMA)—a key support zone that hasn't been tested in months.
Testing Long-Term Support
According to a recent post from TrendSpider, META has entered oversold territory, which could either set up a rebound or signal more trouble ahead if support gives way.
Meta is currently trading around $680, right where its 200-day SMA sits. This line has historically been a solid foundation for rallies—most recently in May 2025, when the stock bounced hard and climbed through the summer. But after failing to hold the $760–$780 resistance zone, META slid back down to retest this critical average.
The chart's volume profile shows this price area as a high-activity zone, meaning buyers have typically stepped in here before. If they do it again, we could see a short-term bounce. But if the 200-day average breaks, it would shift momentum to the downside and possibly push the stock toward $640–$650.
The Relative Strength Index (RSI) is sitting around 34, confirming oversold conditions. That suggests selling may have gotten overdone in the near term. Earlier this year, whenever META's RSI dropped below 35, it triggered strong recoveries—traders are now watching for a similar setup.
Key Levels to Watch
- Support: $670–$680 (200-day SMA and volume cluster)
- Resistance: $720 and $760 (previous breakdown zones)
- RSI: Near 34, signaling potential reversal conditions
If Meta holds above its moving average and volume picks up, a rebound could gain traction quickly. But a close below the SMA would confirm a technical breakdown and likely extend the downtrend into November.
Broader Market Context
Meta's weakness reflects the broader tech sector pullback, driven by rising bond yields and post-earnings caution. The Nasdaq 100 has also cooled off as investors rotate into safer assets amid uncertainty around Federal Reserve policy. Still, Meta remains one of the most fundamentally strong AI-focused companies, with growing investments in artificial intelligence, ad targeting, and content systems supporting its long-term outlook.
Artem Voloskovets
