ANALYSIS
NQ100 Finds Support from PPIApr 14
NQ100 Promises Correction in Medium-Term Outlook
As a result of the war in Ukraine and the US economy, which contracted in the first half of 2022 with the aggressive monetary tightening of the US Federal Reserve (FED), we saw that the NQ100 index retreated until last October, erasing the gains of about 2 years. However, the hopes that the FED will reduce the rate of policy tightening to 25 basis points after the inflation in the US has entered a downward path, caused the global investor risk sentiment to improve. At this point, the expectation that the FED will end the interest rate hike cycle with 2 more tightening of 25 basis points in 2023 will be an important driving force for the stock market to recover its losses last year. Technically speaking, it is seen that the NQ100 index has ended the intermediate bearish trend in the weekly candlestick pattern. Above, 12 400 will be at the main resistance position. Overcoming this with permanent closures can open the way for a correction up to 13 600, which is indicated by the Fibonacci 50.0 percent retracement line, after 12 970. In retreats, the 11 325 – 10 745 line will be a strong support zone.
