Dow Jones futures, along with S & P 500 futures and NASDAQ futures, fell moderately at the beginning of Wednesday. The stock market rebound on Tuesday was a strong technician-led session, despite continued rising yields on government bonds.
X
The distribution of Tesla Berlin has started, Tesla’s inventory has increased significantly, and the winning streak has been extended to 6 sessions. Nvidia (NVDA) CEO Jensen Huang gave a keynote speech at the annual GTC meeting on Tuesday. This was also the day of the chip maker analyst. Nvidia’s share price has fallen, but after running ahead of the news.
Adobe (ADBE) Announced earnings after Tuesday’s closing. Adobe’s revenue was above the first-quarter view, but the second-quarter guidance was insignificant. ADBE’s share price rose 2.8% on Tuesday and then fell moderately on Wednesday morning.
Apple (AAPL) rose again and regained the 50-day moving average. Apple stocks are at the buying point on the trend line. Google parents alphabet (GOOGL) and Microsoft stocks flashed a buy signal.
Tesla (TSLA), Microsoft (MSFT) and Nvidia stocks are on the IBD leaderboard. Google Stock and Microsoft are long-term leaders in IBD. Tesla’s inventory is in IBD50.
The video embedded in this article explained and analyzed Tuesday’s market behavior. Jackson Financial (JXN), Tesla and Apple stocks.
Dow Jones Futures Today
Dow Jones futures fell 0.3% of fair value. S & P 500 futures fell 0.4% and Nasdaq 100 futures fell 0.7%.
The Treasury yield for 10 years rose 1 basis point to 2.38%.
US crude oil prices have risen by more than 2%.
Keep in mind that nighttime action on Dow futures and elsewhere does not necessarily lead to actual trading at the next regular stock market session.
Join an IBD expert to analyze practical stocks at a stock market rally at IBD Live
Stock market rally
Stock market rebounds regained momentum during the session, closing near daytime highs.
The Dow Jones Industrial Average rose 0.7% on Tuesday’s stock market trading. The S & P 500 index rose 1.1% and Tesla stocks recorded the number one rise. The Nasdaq Composite Index surged nearly 2%. The small Russell 2000 has advanced 0.9%.
The Treasury yield for 10 years rose 6 basis points to 2.37%, the highest since May 2019. Treasury yields over the last two years have also skyrocketed in the last two weeks.
US crude oil prices fell 0.3% on maturity to $ 111.76 a barrel, holding back previous losses. Crude oil futures fell 0.6% to $ 109.27 in May.
ETF
Among the best ETFs, the Innovator IBD 50 ETF (FFTY) rose 0.9% and the Innovator IBD Breakout Opportunity ETF (BOUT) rose 0.1%. iShares Expanded Tech-Software Sector ETF (IGV) surged 2.5% with MSFT shares and major Adobe shares. VanEck Vectors Semiconductor ETFs (SMHs) rose 0.7%. Nvidia Stock is a key component of SMH.
ARK Innovation ETFs (ARKK) rose 4.7% and ARK Genomics ETFs (ARKG) rose 4.3%, reflecting a more speculative storystock. Tesla shares continue to hold the number one stake in Ark Invest’s entire ETF.
SPDR S & P Metals & Mining ETFs (XMEs) fell 0.6% and Global X US Infrastructure Development ETFs (PAVEs) rose 0.1%. The US Global Jets ETF (JETS) rose 2.2%. SPDR S & P Homebuilders ETFs (XHB) are up 0.1%. Energy Select SPDR ETFs (XLEs) decreased by 0.7% and Financial Select SPDR ETFs (XLFs) increased by 1.6%. The Health Care Select Sector SPDR Fund (XLV) has been closed just above the break-even point.
5 Best Chinese Stocks to See Now
Nvidia stock
At the GTC conference, Nvidia announced a major update to the Omniverse platform for Metaverse applications. We also announced new hardware and software, including CPUs for data centers.
Chinese EV giant BYD (BYDDF) and US startups Lucid Motors (LCID) uses Nvidia’s DriveAI architecture for autonomous driving purposes.
Nvidia’s share price fell 0.8% to 265.24.
Stocks made a positive entry late last week as they crossed the plunging 50-day line and broke through the sharp downtrend line. NVDA stocks seem to have paused near highs in early February.
Nvidia shares need to go further before MarketSmith recognizes a deep integration with a buypoint of 346.57.
Tesla vs BYD: Which Fast-Growing EV Giant Is A Better Buy?
Tesla Berlin begins delivery
The Tesla Berlin plant officially began delivery on Tuesday, with 30 Model Ys handed over at an event with CEO Elon Musk at hand. The Berlin facility is planned to have 500,000 vehicles annually. However, for the time being, batteries have been imported from Tesla Shanghai, and the plant does not seem to be fully completed. Therefore, production can increase slowly.
Tesla shares rose 7.9% to 993.98. Stocks regained the 200-day and 50-day lines last week. Even if investors see them as aggressive entrants, stocks are well expanded from those levels. According to MarketSmith’s analysis, the official buying point for TSLA stocks is 1,208.10, and the early entry of the trend line is shallow at around 1,150. Perhaps the share is over 1,000 levels and could form a handle.
The relative strength line for Tesla stocks is well off the highs, but has definitely improved over the past week.
Apple stock
Apple’s share price rose 2.1% to 168.82, above the 50-day line. Like the Tesla stock, the iPhone giants rallyed for six consecutive sessions. AAPL stock has a double bottom base with an official 176.75 buypoint. However, investors can use the trendline from the January 4th peak to find early buy points just above Tuesday’s closing price.
The RS line, which is the blue line in the chart provided, is not far from the highs.
Microsoft stock
Microsoft’s share price rose 1.6% to 304.06, breaking the 50-day line late last week and then above the 200-day moving average. The official purchase point is 349.77. Investors can buy MSFT shares as an early entry or to start a long-term leader position.
Google stock
Google’s share price rose 2.8% to 2,797.36. The GOOGL stock has regained its 200-day line, but is a bit more convincing than Microsoft. This is also a purchase point for early entry or long-term leaders. Google stocks are moving flat, but official entry is 3,031.03 with a merger dating back to early February.
Market rally analysis
This week’s stock market backlash has so far been strong, following the surge in personality changes last week.
On Monday, the major indexes receded, but showed constructive action. They closed the lows well, above or around the 50-day moving average. The rise in the stock market on Tuesday remained strong, clearing Monday’s highs. The S & P 500 exceeded the 200-day moving average. Nasdaq has regained the 14,000 level.
From megacaps such as Apple stocks to software and chips, technology has led and even the offensive name has shined, even though Treasury yields are still rising. Many of Tuesday’s big winners continued to be defeated by former leaders such as ADBE stocks, which are still less than 200 days old. But Tesla has begun a comeback while Microsoft and Google stocks are flashing buy signals.Opportunities for early technology purchases such as: Rambus (RMBS) and Arista Networks (ANET) continues to make progress.
But Tuesday’s profits were widespread. Treasury was a big winner. The defense name is offensive.
Energy has paused as oil prices have fallen, but it still looks solid. Metals and mining companies were mixed with medical names, but they are also healthy and have many nearby buying points.
Like Apple and Tesla stocks, market recovery has risen significantly in the last few sessions. Therefore, it is not surprising to see the major indices temporarily retreat or move sideways.
Time the market with IBD’s ETF market strategy
What to do now
Market rebound has flashed some bullish signals in the last six sessions, including follow-through dates, recovery of key tech levels, and high-quality stocks that flash buy signals.
Investors should be taking advantage of purchasing opportunities to gradually add more exposure lately. If the market recovers and holdings remain strong, we can continue to reduce our cash positions.
Tech stocks are once again showing signs of leadership, which is a plus for growth-focused investors. However, it is a good idea to hold major stocks from different sectors. The market backlash seems to be widespread. Also, in a rising environment, growth stocks face some challenges.
This is definitely the time to work on your watchlist, paying attention to stocks that are feasible or close to being feasible.
Read the big picture every day to keep the market direction in sync with the major stocks and sectors.
Follow Ed Carson on Twitter. @IBD_ECarson The latest information on the stock market.
You may like it too:
Why this IBD tool simplifies searching for top stocks
Want to make quick profits and avoid big losses? Try SwingTrader
The best growth stock to buy and see
IBD Digital: Unlock IBD’s Premium Stock Lists, Tools and Analytics Now
S & P 500 Winners, Top 3 Losers Today