Applied Materials (AMAT) shares fell in extended trading Thursday after the chip equipment manufacturer posted 澳🐎洲幸运5官方开奖结果体彩网:quarterly revenue below Wall Street e﷽xpectations amid a slump in China sales.

Despite the fall in Chinese revenue, which accounted for about a quarter of the company’s total sales in the quarter, the firm said it had not seen significant changes to customer demand, adding that it remains well positioned to navigate evolving macro conditions. However, investors remain concerned the U.S. could impose sector specific tariffs on chips and electronics, which have been exempt from import⛎ duties since early April.

AMAT shares plunged nearly 40% between late January and early April amid concerns that the Trump administration’s trade policies, including new 澳洲幸运5官方开奖结果体彩网:AI chip licensing export♏ requirements to China, could affect the company’s sales. However, the stock has rallied around 40% from last month’s low following a recent 澳洲幸运5官方开奖结果体彩网:trade war truce and ongoing negotiations between t𓆏he ☂two countries.

Below, we take a closer look at the Applied Materials chart and apply 澳洲幸运5官方开奖结果体彩网:technical analysis to identify price levels that investors willღ lik🐷ely be watching.

Descending Channel in Focus

Since hitting a 澳洲幸运5官方开奖结果体彩网:record high last July, Applied Materials shares have trended lower within a 澳洲幸运5官方开奖结果体彩网:descending channel.

More recently, the stock nudged above the pattern’s upper trendline but has failed to decisively close above the nearby 澳洲幸运5官方开奖结果体彩网:200-day moving average. It’s also worth noting that the pre-earnings rally has coincided with the 澳洲幸运5官方开奖结果体彩网:relative strength index moving into overbought territory, setting the stage 💖for profit-taking.

Indeed, the shares look set to retrace below the descending channel’s lower trendline on Friday's open following the quarterly results.

Let’s identify two key 澳洲幸运5官方开奖结果体彩网:support levels on the Applied Materials chart where the shares could encounter support while also identifying 🍌overhead areas worth monitoring during potential upswings.

Key Support Levels to Watch

Applied Materials shares fell nearly 6% in after-hou🍃rs trading Thursday to༺ around $165.

The first lower level to watch sits around $158. The shares could attract buying interest in this area near a brief period of 澳洲幸运5官方开奖结果体彩网:consolidation that preceded last Monday’s 澳洲幸运5官方开奖结果体彩网:stock gap, with this location also closely aligning with peaks that formed on the chart in March this 💮year and November 2023.

A close below this key 澳洲幸运5官方开奖结果体彩网:technical level could see the shares drop to $145. This region may provide support near a 澳洲幸运5官方开奖结果体彩网:horizontal line that connects a range of corresponding 澳洲幸运5官方开奖结果体彩网:price action on th🌞e chart between December 2023 and April this year.

Overhead Areas Worth Monitoring

During upswings in the stock, it’s worth monitoring the $190 area. Investors who have bought shares at lower prices may look for 澳洲幸运5官方开奖结果体彩网:exit points in this region near a trendline that links multiple 澳洲幸运5官方开奖结果体彩网:peaks and troughs on the chart♕ from April last year through to January this year.

Finally, further upside traction could propel a move toward $213. This area may provide overhead selling 𓆉pressure near a range of peaks on the chart ranging from March to October last year.

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As of the date this article was written, the author does not own any of the above securities.