US Tech forecast: the index is trading sideways

The US Tech index is trading in a sideways range with no sign of a trend reversal. The US Tech forecast for next week is positive.

US Tech forecast: key takeaways

• Recent data: US CPI came in at 3.5% in June 2026
• Market impact: this data is negative for the technology sector

US Tech fundamental analysis

The annual Consumer Price Index declined from 4.2% to 3.5%, while the market had expected 3.8%. Thus, inflation came in not only significantly below the previous reading, but also better than the forecast. An additional positive signal was that core inflation, which excludes food and energy prices, slowed from 2.9% to 2.6% year-on-year and remained unchanged compared to May. The overall monthly price index fell by 0.4%, primarily due to a 5.7% drop in energy prices. Meanwhile, housing costs rose by only 0.1%, the smallest monthly increase in this component since January 2021. Therefore, easing price pressure is visible not only in the energy component of the index, but also across a number of more stable categories.

For the US Tech index, this data is predominantly positive. Technology companies are especially sensitive to interest rate expectations, as a significant portion of their market value is based on their expected future profits. When inflation slows, investors begin to expect looser Federal Reserve policy and lower government bond yields. In this case, the future earnings of technology companies are valued higher, which creates conditions for their stocks to rise.

US Tech technical analysis

The release is also positive for the overall US stock market. Weaker inflation reduces the risk of further rate hikes and increases the likelihood of rate cuts in the coming months. This may lead to lower bond yields, a weaker dollar, and a shift of capital towards stocks. At the same time, slower price growth supports real household incomes.

The US Tech index continues its corrective movement, although selling pressure may gradually decline, increasing the likelihood of a consolidation phase. The nearest resistance level is located at 30,690.0, with the key support level at 28,415.0. Despite the current pullback, the broader uptrend remains intact; however, without pronounced demand from buyers, the market may shift into a sideways range. If growth resumes, the next potential target for the index could be 31,895.0.

The US Tech price forecast outlines the following scenarios:

• Pessimistic US Tech forecast: a breakout below the 28,415.0 support level could send the index down to 27,525.0
• Optimistic US Tech scenario: a breakout above the 30,690.0 resistance level could propel the index up to 31,895.0

Summary

Overall, the report creates favourable conditions for the US Tech and the US stock market. The main positive signal is not only the decline in headline inflation below the forecast, but also the slowdown in core inflation and housing costs. The most likely initial reaction is a rise in technology stocks and other equities sensitive to interest rates. However, to form a sustained upward movement, the market will need confirmation from the next inflation and labour market reports, as well as clearer signals from the Federal Reserve about the possibility of an interest rate cut. The nearest upside target could be 31,895.0.

Open Account

Editors’ picks

EURUSD forecast 2026–2027: technical analysis, price levels & predictions

EURUSD has pulled back from the 2026 high of 1.1915 and is now trading near 1.1450 — below both EMA65 and EMA200 — with the active scenario shifting from bullish to bearish. The ECB raised rates to 2.40%, but the Fed holds at 3.75%, and US inflation (3.5%) continues to outpace the eurozone (2.8%). A confirmed break below 1.1280 opens the next downward wave toward 1.1080. We break down the key levels, three trading scenarios with entry triggers, and what Deutsche Bank, Morgan Stanley and UBS are forecasting for EURUSD in 2026.

Gold (XAUUSD) forecast 2026: predictions based on fundamental and technical analysis

Gold has corrected over 25% from its all-time high of 5,597 USD and is now trading near 4,100 USD — testing a critical support zone. Is this the bottom, or will the downtrend continue? We break down the key levels (support 3,920 USD, breakout trigger 4,500 USD), three trading scenarios with entry levels, and what J.P. Morgan, Goldman Sachs and Deutsche Bank are forecasting for gold in 2026.