Meta Stock Outlook: Technical Weakness Persists Ahead of Earnings Report

Meta Platforms Inc. (NASDAQ: META) is showing similar technical patterns to other U.S. mega-cap stocks ahead of this week’s earnings report. With shares currently trading at around $549.58, Meta is sitting below its 50-day moving average (50MA) — a signal that suggests a near-term bearish bias for the stock.

Meta’s Technical Outlook: Bearish Momentum Persists

The 50MA is likely to act as immediate resistance in the coming sessions. Although a breakout above this level could generate bullish interest, it may not be enough to signal a sustainable rally. The MACD indicator on the weekly chart remains firmly in bearish territory, highlighting the ongoing downward pressure on Meta’s share price.

Despite short-term technical weakness, Meta has experienced heightened volatility over the past two months. This week’s earnings report may offer a period of stabilisation, depending on the company's forward guidance and strategic updates.

Earnings Expectations and Investor Focus Areas

Meta is expected to report a 10% year-over-year (YoY) growth in earnings per share (EPS). However, the stock has already climbed 27% over the same 12-month period, meaning expectations are already high — and any earnings disappointment could trigger a sharp sell-off.

Investors will be especially attentive to:

• Q2 guidance and revenue outlook

• Commentary on investment plans and capital expenditure

• Impact of potential tariffs on innovation and global expansion

Tariffs remain a looming concern for the broader technology sector, which relies heavily on global supply chains and innovation. If new trade restrictions threaten R&D spending or hardware procurement, Meta’s stock could be vulnerable, even if some analysts argue the risk is already priced in.

Key Price Levels: Resistance, Support, and Downside Risk

• Immediate Resistance: ~$550 (50-day moving average)

• Breakout Level: A move above $600 may provide more confidence to investors, signalling a potential return to bullish momentum

• Support Zone: The yearly low of $471.24 marks key support. A breakdown below this level could see the share price fall into the $400–$435 range, which aligns with support zones from the green trend channel on the chart.

Conclusion: Volatility Ahead as Meta Prepares to Report Earnings

Meta remains a top performer on a 12-month basis, but technical indicators and geopolitical uncertainty are weighing on the near-term outlook. The upcoming earnings release will be a major catalyst, and with the stock already up significantly this year, investors should prepare for elevated volatility — especially if earnings or guidance miss expectations.