* FTSE 100 down 0.7 pct in early session trading
* FTSE falls below 200-day simple moving average level
* ARM and Sage suffer in wake of Nasdaq sell-off
By Sudip Kar-Gupta
LONDON, April 11 Technology stocks tumbled on
Friday as Britain's benchmark equity index bore the brunt of a
global stock market sell-off that left it vulnerable to its
biggest weekly loss in around a month.
The blue-chip FTSE 100 index, which climbed 14.4
percent in 2013 and rose to nearly its best level since early
2000 in January this year, was down by 0.7 percent, or 47.48
points, at 6,594.49 points in early session trading.
Technology companies such as ARM and Sage
were among the worst-performing stocks on the FTSE, as they
suffered in the wake of a 3.1 percent slump overnight on the
United States' technology-dominated Nasdaq index.
ARM, whose chip designs feature in most smartphones, fell
3.8 percent to 966 pence in relatively brisk trading volume,
while software developer Sage declined 2.5 percent.
"I would leave ARM well alone for now. I'd be happy to see
it drift down to 930 or 910 pence before phasing back into the
stock," said Beaufort Securities sales trader Basil Petrides.
The FTSE is down by around 2 percent since the start of
2014, having retreated since hitting a peak of 6,867.42 points
in late January.
The index's fall on Friday also pushed the FTSE below its
200-day moving average level, which is often interpreted by
technical traders as a sign of further weakness to come in the
Adrian Slack, technical strategist at London-based firm APS
Alpha, said the FTSE could fall to the 6,393 point level if it
broke below the 6,540 level. That 6,540 point level roughly
marked the start of a slight rebound for the FTSE in late March.
"I'm not as bullish as I was before. It's a
'sit-on-your-hands' type moment for the market at present, and I
think we may tread water for a bit," he said.
(Editing by Tom Heneghan)