US Tech 100 IndexShort
Short-term pressure seen on USTEC
Fundamental Perspective:
USTEC pared recent gains as Oracle's (ORCL) disappointing earnings and Nvidia's (NVDA) ongoing scrutiny from Chinese regulators dampened investor confidence. Alphabet (GOOGL) surged after unveiling a quantum computing breakthrough.
However, lofty valuations and concerns over potential antitrust scrutiny of tech giants weighed on USTEC.
President-elect Trump has appointed Andrew Ferguson as FTC Chair, replacing Lina Khan. Ferguson could ease regulatory pressure on business mergers, potentially streamlining deal approvals while maintaining a tough stance on antitrust enforcement against tech giants.
This mirrors Trump’s first-term approach, with major lawsuits targeting big tech like Google (GOOGL) and Meta Platforms (META). The ongoing scrutiny of tech stocks could temper upward momentum in the USTEC.
Technical Perspective:
USTEC pared recent gains and formed a head-and-shoulders pattern following a break of the pattern's neckline near 21420. If the price sustains its bearish momentum below 21420, a further decline toward the 21200 support might occur. This support zone aligns with the ascending trend line and is a significant resistance-turned-support zone, as the price peaked in November before a further rally. Conversely, a break above 21420 could prompt a deeper pullback toward the next resistance at 21580.
Author: Li Xing Gan, CMT, CFTe,
Financial Market Strategist Consultant to Exness
USTEC pared recent gains as Oracle's (ORCL) disappointing earnings and Nvidia's (NVDA) ongoing scrutiny from Chinese regulators dampened investor confidence. Alphabet (GOOGL) surged after unveiling a quantum computing breakthrough.
However, lofty valuations and concerns over potential antitrust scrutiny of tech giants weighed on USTEC.
President-elect Trump has appointed Andrew Ferguson as FTC Chair, replacing Lina Khan. Ferguson could ease regulatory pressure on business mergers, potentially streamlining deal approvals while maintaining a tough stance on antitrust enforcement against tech giants.
This mirrors Trump’s first-term approach, with major lawsuits targeting big tech like Google (GOOGL) and Meta Platforms (META). The ongoing scrutiny of tech stocks could temper upward momentum in the USTEC.
Technical Perspective:
USTEC pared recent gains and formed a head-and-shoulders pattern following a break of the pattern's neckline near 21420. If the price sustains its bearish momentum below 21420, a further decline toward the 21200 support might occur. This support zone aligns with the ascending trend line and is a significant resistance-turned-support zone, as the price peaked in November before a further rally. Conversely, a break above 21420 could prompt a deeper pullback toward the next resistance at 21580.
Author: Li Xing Gan, CMT, CFTe,
Financial Market Strategist Consultant to Exness
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