Tech sector under pressure ahead of earnings season
US100 fell 1.4% on Monday as investors reassessed the outlook for monetary policy while awaiting a busy week for earnings reports and FOMC Minutes on Wednesday. Again as tech sector continue to be the hardest hit in this bear market as market participants expects further tightening in the upcoming months, while S&P 500 companies are expected to see their weakest earnings growth in three years in 3Q 2022, with Wall Street analysts cutting their earnings forecasts by some USD 34 bn, according to Financial Times. As a result US100 broke below the major support zone around 11000 pts, reaching its lowest level since November 2020. If current sentiment prevails, next target for sellers can be found at 10460 pts, which is marked with 61.8% Fibonacci retracement of the upward wave launched in march 2020.
US100, D1 interval. Source: xStation5
