Key Takeaways

Qualcomm ( QCOM ) shares tumbled Thursday morning after the mobile chip designer issued a light revenue outlook that overshadowed better-than-expected quarterly results.

While the company said it doesn’t currently anticipate any material impact from tariffs, and that it had not seen elevated pre-emptive product purchasing ahead of possible import duties during the quarter, it cautioned the situation could change due to unpredictable U.S.-China trade tensions .

Qualcomm’s shares were down 8% at around $136 in recent trading. The stock has lost about 17% of its value over the past 12 months, due in part to concerns that the company could see a significant decline in revenue as key customer Apple ( AAPL ) ramps up production of in-house chips to power its devices.

Below, we break down the technicals on Qualcomm’s chart and identify major price levels investors may be watching.

Multi-Month Descending Channel

Qualcomm shares had been entrenched in a multi-month descending channel since setting their record high last June.

More recently, the stock rallied from the pattern’s lower trendline, which coincided with the relative strength index (RSI) crossing back above the 50 threshold to signal accelerating price momentum.

However, the buying enthusiasm ended abruptly Thursday, potentially paving the way for the stock to resume its longer-term downtrend .

Let’s point out two major price levels on Qualcomm’s chart where the shares could encounter support , while also identifying important overhead areas that could come into play during potential upswings.

Major Support Levels to Watch

Investors should initially keep tabs of the $135 level. The shares may find support in this area near the mid-April dip and the low of a retracement that formed on the chart early last year during an extended uptrend .

A more significant drop could see the shares revisit lower support around $126. Investors may seek entry points in this location near trading activity positioned just above last month’s low, which also closely aligns with the bottom range of a consolidation period in late 2023.