Intel (INTC) shares slumped in extended trading on Thursday after the chipmaker posted a quarterly outlook that fell short of Wall Street expectations.

The chipmaker said uncertainty surrounding the Trump administration’s tariff policies had led customers to stockpile chips in the first quarter, which it expects will weigh on current quarter revenue as a result. Newly installed CEO Lip-Bu Tan cautioned that it would take the company time to gain market share and drive sustainable growth. 

Intel shares have outperformed the S&P 500 since the start of the year amid hopes of a turnaround under Lip-Bu Tan’s leadership. However, the stock is down about 37% over the past 12 months amid worries about the company’s strategic direction and its inability to make inroads into the booming AI chip market.

Intel shares, which gained more than 4% during Thursday’s regular session, fell 5.1% to $20.39 in after-hours trading.

Below, we take a closer look at Intel’s chart and apply technical analysis to identify major price levels that investors will likely be watching.

Extended Trading Range Remains in Play

Since gapping sharply lower last August, Intel shares have drifted sideways in an extended trading range, helping to establish identifiable trading levels.

More recently, an upswing in the stock, which coincided with the relative strength index (RSI) reclaiming the 50 threshold, looks set to end abruptly on Friday following the chipmaker’s uninspiring earnings report.

Let’s identify lower price levels on Intel’s chart that could provide support and also point out two key overhead areas that may attract interest during future upswings.

Major Support Levels to Watch

Amid projected post-earnings weakness in the stock, investors should initially watch a major level of support at $19. This area on the chart would likely attract considerable buying interest near the extended trading range’s lower trendline.

A breakdown below this key technical area could see the shares trend lower toward $15. We projected this level by taking the price bars comprising the stock’s decline from late March to early April and overlaying them from Thursday’s high. This analysis projects that three down trending legs may potentially be playing out on the chart.

Key Overhead Areas to Monitor

During an upswing in the stock, it’s worth keeping track of the $22 area, which sits roughly at the midway point of the extended trading range. The shares could run into overhead selling pressure in this location near the 50-day and 200-day moving averages and a trendline that connects multiple peaks and troughs on the chart stretching back to early August last year.

Finally, a broader recovery could see Intel shares revisit the extended trading range’s upper trendline around $26. Investors who have accumulated the stock at lower levels may decide to book profits in this region near three notable peaks that formed on the chart between November and March.

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