Applying a few simple rules and price action we can see that we are at a strong demand level with price rejection at the moment.
With Earnings to commence on Friday, starting with the major US banks,
Suspect that earnings reports will be positive due to higher interest rates over last quarter which increase earnings for the banks.
The issue is that the major tech companies are losing income due to reduced spending from advertising companies which is their main source of income and higher interest rates will effect their profitability because of higher operating cost
The other item is the mass lay offs by major tech companies in recent months to reduce overheads
Less people less productivity, less income
lets see what happens and stand by for some serious volatility during earnings season
With Earnings to commence on Friday, starting with the major US banks,
Suspect that earnings reports will be positive due to higher interest rates over last quarter which increase earnings for the banks.
The issue is that the major tech companies are losing income due to reduced spending from advertising companies which is their main source of income and higher interest rates will effect their profitability because of higher operating cost
The other item is the mass lay offs by major tech companies in recent months to reduce overheads
Less people less productivity, less income
lets see what happens and stand by for some serious volatility during earnings season