Arm Holdings plc (NASDAQ:ARM) stock fell more than 4% in Tuesday’s premarket session as investors pulled back from high-valuation technology stocks. Nasdaq futures dropped 1.08%, while S&P 500 futures slipped 0.13%.
The selling pressure appears tied to a weaker tone across growth stocks, where premium valuations often lead to sharper moves during risk-off sessions. Arm shares remain up 119.39% over the past 12 months, making the stock vulnerable to profit-taking after a strong rally.
Technical Picture Remains Mixed
Arm is trading 14.6% below its 20-day simple moving average of $360.01. However, it remains 2.1% above its 50-day SMA of $301.24, a level many traders view as an important support area.
The longer-term trend remains positive. The stock trades 40.1% above its 100-day SMA of $219.56 and 72.8% above its 200-day SMA of $178.01.
