Dow futures declined early Wednesday, along with S&P 500 and Nasdaq futures. The stock market rally had a strong session on Tuesday, with technology advanced on the way even as Treasury yields continued to rise.
Tesla delivery Berlin which led to a sharp rise in Tesla stock, which extended the winning streak to six sessions. nvidia (NVDA) CEO Jensen Huang delivered a keynote speech at GTC’s annual conference on Tuesday, which was also the chipmaker’s Analyst Day. Nvidia stock fell, but after rising before the news.
Adobe (ADBEEarnings after Tuesday’s close. Adobe’s earnings topped Financial opinions for the first quarter but guidance for the second quarter were light. ADBE stock fell modestly on Wednesday morning after rising 2.8% on Tuesday.
The video included in this article discusses and analyzes Tuesday’s market action Jackson Finance (JXN) and shares of Tesla and Apple.
Dow jones futures contracts today
Dow Jones futures are down 0.3% against fair value. S&P 500 futures were down 0.4% and Nasdaq 100 futures were down 0.7%.
The 10-year Treasury yield rose one basis point to 2.38%.
US crude oil prices rose more than 2%.
stock market rise
The stock market rally once again built momentum during the session, closing near intraday highs.
The Dow Jones Industrial Average rose 0.7% on Tuesday stock market trading. The S&P 500 rose 1.1%, with Tesla stock being the top gainer. The Nasdaq Composite Index jumped about 2%. Small cap Russell 2000 rose 0.9%.
The 10-year Treasury yield rose 6 basis points to 2.37%, the highest level since May 2019. After rising 17 basis points on Monday amid hawkish Federal Reserve Chairman Jerome Powell’s hawkish comments. The 10-year Treasury yield has also risen sharply in the past two weeks.
US April crude oil prices fell 0.3% to $111.76 a barrel, paring previous losses on the day of its expiration. May crude futures fell 0.6 percent to $109.27.
between the Best ETFsThe Innovator IBD 50 ETF (fifty) by 0.9%, while the Innovator IBD Breakout Opportunities ETF)fit) rose 0.1%. iShares Expanded Technology and Software Fund (ETF)IGV) up 2.5%, with MSFT stock and Adobe key holdings. VanEck Vectors Semiconductor Corporation (SMH) advance 0.7%. Nvidia stock is a major component of SMH.
SPDR S&P Metals & Mining ETF (XME) decreased by 0.6% and the Global Infrastructure Development Fund (ETF) in the USA (cradle) rose 0.1%. US Global Gates Foundation (ETF)Planes) rose 2.2%. SPDR S&P Homebuilders ETF (XHB) rose 0.1%. SPDR Specific Energy Fund (SPDR ETF)XLE) is down 0.7% and the Financial Select SPDR ETF (XLF) rose 1.6%. SPDR Healthcare Sector Selection Fund (XLV) closed just above the break-even point.
Nvidia announces major updates to Omniverse platform for metaverse applications at its GTC conference. It also unveiled new hardware and software, including a CPU for data centers.
Nvidia stock fell 0.8% to 265.24.
Stocks flashed a violent entry late last week as they crossed above the fast-declining 50 day line and broke a very steep bearish trendline. NVDA stock appears to be pausing around its early February highs.
Nvidia stock still needs to make further progress before MarketSmith recognizes a deep consolidation, which would have a buy point at 346.57.
Tesla Berlin begins deliveries
The Tesla Berlin plant officially began deliveries on Tuesday, with 30 Model Ys being delivered at an event with CEO Elon Musk in hand. The Berlin facility has a planned annual capacity of 500,000 vehicles. But the factory does not appear to be completely finished, as the batteries have been imported from Tesla Shanghai for the foreseeable future. So production is likely to rise slowly.
Tesla stock jumped 7.9% to 993.98. Stocks regained the 200-day and 50-day lines last week. Even if investors see this as a strong entry, the stock extends well from those levels. According to the TSLA, the official purchase point is 1208.10 points MarketSmith Analysiswith an early entry for a shallow trend line around 1150. Perhaps the stock could cross the 1000 level and form a handle.
The Relative force line As for the Tesla stock, it’s far from the highs, but it’s definitely improving over the past week.
Apple stock rose 2.1% to 168.82, breaking the 50-day line. Like Tesla’s stock, the iPhone giant has gone up six sessions in a row. The AAPL stock contains double bottom base With 176.75 official buy points. With that said, investors can use a trendline from the January 4th peak to identify an early buying point just above Tuesday’s close.
The RS line, the blue line in the provided charts, is not far from the top.
Microsoft stock rose 1.6% to 304.06, breaking its 200-day moving average after crossing the 50-day line late last week. The official purchase point is 349.77. Investors can buy MSFT shares as an early entry or to start a long-term leading position.
Google stock rose 2.8% to 2,797.36. GOOGL stock reclaimed the 200-day streak, but a bit more convincingly than Microsoft did. This is also an early entry point or a buying point for a long-term leader. The official entry is 3031.03 on consolidation dating back to early February, although Google’s stock is moving sideways.
Market Rise Analysis
The stock market rally is showing a solid move so far this week after last week’s personality-changing rush.
On Monday, the leading indicators slipped but showed constructive measures. They closed near the lows, and held above or near the 50 day moving averages. On Tuesday, the stock market rally made solid gains, surpassing Monday’s highs. The S&P 500 moved above its 200-day moving average. The Nasdaq has reclaimed the 14,000 level.
Technology has led the way, from giants like Apple shares to software and chips, with even strong names shining through even as Treasury yields continue to rise. Several of Tuesday’s big winners went on to beat the previous leaders like ADBE stock which is still below its 200 day streaks. But Tesla is making a comeback while Microsoft and Google stocks are flashing buy signals. Early technology buying opportunities such as Rambus (RMBS) And the Arista Networks (Network) Continue to progress.
But the gains were broad-based on Tuesday. Finances were the big winners. Defense names in attack.
Energy has paused with lower crude oil prices, but it still looks solid. Metals and mining companies have been mixed, along with the medicinal names, but they are also in good health, with several points of purchase approaching.
As with Apple and Tesla stocks, the market rally has gone up quite a bit over the past several sessions. So it wouldn’t be surprising to see major indicators pull back or move sideways for some time.
What are you doing now
The market rally has flashed several bullish signals over the past six sessions, including follow-up days, reclaiming key technical levels and high-quality stocks flashing buy signals.
Investors were supposed to gradually add exposure in recent days, taking advantage of buying opportunities. If the market goes up and your holdings continue to perform well, you can continue to reduce your cash position.
Tech stocks are showing signs of leadership once again, which is positive for growth-focused investors. But it’s a good idea to own leading stocks from a variety of sectors. The market rally appears to be broad. Also, in a high growth rate environment, growth stocks face some challenges, particularly those with rich valuations.
This is definitely a good time to work on your watchlists, keeping a close eye on stocks that are actionable or about to be.
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