Meta's Q1 Earnings Tomorrow: 3 Critical Points on AI Spending

Meta's earnings report, which focuses on artificial intelligence spending, may create short-term sentiment in technology stocks. Investors will evaluate the impact of the company's AI investments on profitability and growth expectations. If spending exceeds expectations, some selling pressure may be seen in the technology sector; however, a strong earnings report could support market morale. Overall, the market will remain in a cautious wait-and-see mode.

NVDA is trading below its 200-day moving average, and although the RSI at 36 is approaching oversold territory, momentum remains weak. The MACD line is below the signal line and in negative territory, confirming a short-term bearish trend. Meta's earnings report, which focuses on AI spending, could increase sector uncertainty and put additional pressure on NVDA. Combined with technical indicators and the news headline, the stock is likely to continue its downward trend in the short term.

AMD may show an upward trend ahead of its earnings report, which is focused on Meta's artificial intelligence spending. Technical indicators support short-term momentum, with the RSI at 60.8 in neutral territory and the MACD remaining positive above its signal line. The price is trading above the 20-day and 50-day moving averages, confirming the uptrend. However, the upside may be limited due to uncertainties regarding Meta's AI spending and the risk of the market meeting expectations.

The news focuses on Meta's AI spending, but no direct impact is expected for TSMC. Technical indicators present a weak outlook: RSI at 44.9 in neutral territory, MACD below the signal line, and the price below both the 20-day and 50-day moving averages. There is no clear directional signal in the short term; the market may trade sideways while awaiting Meta's results.