US Q1 2026 GDP Revised Down to 1.6%, Profits Slow

The downward revision of GDP to 1.6% and a slowdown in profits indicate that economic growth has fallen short of expectations. This could reduce risk appetite in the markets and create selling pressure in the short term. Technically, while the RSI at 61.7 is approaching overbought territory, the MACD remains below its signal line, suggesting weakening momentum. However, the price staying above the 20- and 50-day moving averages indicates that any decline may be limited. Overall, the negative impact of the news, combined with the technical outlook, suggests a slight short-term decline can be expected.

The downward revision of US GDP to 1.6% and a slowdown in corporate profits have heightened concerns about economic growth, potentially creating short-term pressure on the NDX. Technically, the RSI at 63.6 is approaching overbought territory, while the MACD remains below its signal line, indicating weakening momentum. Although the price is above the 20-day SMA, its elevated level relative to the 50-day SMA increases the risk of a correction. Combined with the negative news impact, the index could pull back to the 29,800–29,900 range in the near term. However, any decline is expected to be limited, as the market may find support from previous strong sessions.