Figma Stock Drops 5.16% As Technicals Signal Strong Bearish Momentum

Figma (FIG) concluded its latest trading session with a 5.16% decline, closing at $53.07 amidst ongoing volatility. This technical analysis evaluates the stock's behavior using multiple frameworks based on approximately one year of historical price data (July 2025 to September 2025).
Candlestick Theory
Recent sessions reveal significant bearish patterns in Figma's price action. The September 11 bullish candle (high: $56.32, close: $55.96) was promptly invalidated by a decisive bearish engulfing pattern on September 12 (open near $55.96, close: $53.07). This rejection confirms $56.30–$56.32 as formidable resistance. Critical support now resides at $52.40–$53.00, corresponding to September 8 and September 12 intraday lows. Failure to hold this zone may accelerate selling pressure toward psychological support at $50.
Moving Average Theory
The moving average configuration shows entrenched bearish alignment. The shorter 10-day SMA ($55.20) remains suppressed below the 20-day SMA ($58.10), with both sliding under the 30-day SMA ($65.80). This stacked descending order signals persistent downward momentum. Recent price action consistently respects the 10-day SMA as dynamic resistance, evidenced by September 11's rally stalling precisely at $56.32 before rejection. The widening gap between shorter and longer-term averages corroborates bearish dominance.
MACD & KDJ Indicators
MACD maintains a bearish posture with the signal line hovering at -2.15 and histogram in negative territory. KDJ reinforces deterioration, with the %K line (41.5) crossing below the %D line (49.8) on September 12. While not yet oversold, this negative crossover suggests fading momentum. Both oscillators align in signaling bearish continuation pressure, though MACD’s stability near cycle lows hints at potential exhaustion if support holds at $52.40.
Bollinger Bands
Bollinger Bands exhibit active volatility expansion, with the September 12 close striking the lower band at $53.07. This marks the fifth lower-band test since early September, illustrating persistent selling pressure. Bandwidth expanded 15% this week, confirming elevated volatility. Repeated failures to reclaim the middle band ($58.10) strengthen its role as resistance. A sustained break below the lower band could trigger accelerated losses toward $50.
Volume-Price Relationship
Volume patterns validate bearish conviction. The September 11 rally occurred on elevated volume (13.2M shares), but was immediately negated by higher-volume selling (8.5M shares) the next day—classic distribution behavior. Notably, August’s breakdown leg (August 1–7) recorded the highest volumes, establishing $76–$78 as a high-volume resistance zone. Current volume profiles support downside continuation unless accumulation emerges near $52.40 support.
Relative Strength Index (RSI)
The 14-day RSI (39.6) remains neutral but displays concerning characteristics. Bearish divergences emerged in late August as higher price highs ($68.59 on September 3) coincided with lower RSI highs (45.7). Though not oversold, the indicator’s inability to breach 50 during September’s relief rallies signals underlying weakness. A break below 30 would align with oversold thresholds, potentially preceding technical rebounds.
Fibonacci Retracement
Applying Fibonacci to the dominant downtrend from the August 1 peak ($142.92) to the September 12 low ($53.00), key retracement levels emerge at $76.60 (23.6%), $94.70 (38.2%), and $112.80 (61.8%). Recent reversals consistently respected the 23.6% level—notably, the September 3 high ($68.59) aligned almost exactly with this barrier. Current price trades below all major retracement levels, affirming the primary bearish trend. The 23.6% level now shifts to resistance near $56.30, validated by September’s price rejection.
Confluence and Divergence Notes
Significant confluence exists between the $56.30 resistance (candlestick theory), 10-day SMA ($55.20), and Fibonacci 23.6% level ($56.30), creating a robust resistance cluster. Meanwhile, KDJ’s bearish crossover diverges mildly from RSI’s neutral reading, suggesting near-term indecision. However, volume confirmation of breakdowns and Bollinger Band signals align with core bearish momentum indicators. Key watchpoints include the $52.40–$53.00 support zone, where a decisive breakdown on expanding volume could trigger a swift decline toward $50.00, while a reclaim of $56.30 resistance would require fundamental catalysts to sustain.