Stock Market Today With IBD

As the market starts to trend above a key level, now is the time to take a more bullish stance. Mike Webster and Alissa Coram walk through this week’s technical action and stocks to watch in the Friday extended version of Stock Market Today.

The Dow Jones extended its winning streak to seven sessions. The 10-year Treasury yield eased 3 basis points to around 4.45% after jobless claims came in stronger than expected. Celsius made a bullish move after a volatile reaction to earnings earlier in the week; Manulife cleared a base and is still in a buy zone; Williams-Sonoma is back near highs with earnings coming up.

Small caps were under pressure all day, but the Nasdaq composite and S&P 500 pared early losses. Decliners beat advancers by less than 2-to-1 on both exchanges as utility stocks outperformed. Taiwan Semiconductor isn’t far from a new entry as it forms a double-bottom base; Aerovironment could try to add a handle to its current pattern; Jefferies is near the top of a shallow cup base.

The major indexes paused Tuesday after a trio of solid gains. A number of stocks still flashed buy signals, often on earnings, though there were big losers as well. Star Bulk Carriers broke out with Ares Management and Embraer near buy points.

Remember that sharp break in the market indexes last month? Seems that the market is putting that worrisome week in the rearview mirror as it hurdles over another potential area of resistance. For stocks, Tradeweb.

With Friday’s jobs report reigniting rate-cut hopes, along with positive reactions to earnings from Apple and Amgen, the Nasdaq composite decidedly cleared the 16,000 level. Mike Webster and Alissa Coram walk through this week’s technical action and stocks to watch in the Friday extended version of Stock Market Today.

Winners beat losers on the Nasdaq by more than 2-to-1. The ratio was around 4-to-1 positive on the NYSE. The 10-year Treasury yield popped early but reversed slightly lower ahead of Friday’s jobs report, which is expected to show nonfarm payrolls up 243,000. Qualcomm soared after reporting earnings and giving bullish revenue guidance, while ResMed and TechnipFMC continue to show strength.

The market initially breathed a sigh of relief that it didn’t get a hawkish statement from Fed Chairman Powell. He acknowledged that inflation is still too high, but he also said the Fed would slow down its bond selling, which could cause downward pressure on rates. Pinterest soared on bullish Q1 results; Booz Allen Hamilton and Aerovironment are building new bases.

The S&P 500 and Nasdaq pulled back from their 50-day lines to undercut their 21-day lines, awaiting the latest Fed meeting and other big news. Eli Lilly jumped on earnings, flirting with a buy signal.

While it’s nice to see indexes on the upswing, there’s more work to be done. Specifically, the 50-day line is looming for indexes and could be a place where bears wrestle control again. And don’t forget a heavy earnings week is on tap to add a potential catalyst for a trend change. Still, a number of individual stocks are looking promising. Carrier Global is working on cooling the artificial intelligence “heat wave.” United Rentals is shaping up a double bottom. Finally, Howmet Aerospace is still holding strong forming a flat base.

After last week’s bad break, Alphabet is trying to help the market get its mojo back. As stocks snapped back on Friday, Nvidia, Astera Labs and Cava flashed buy signals. In this extended edition of Stock Market Today, Alissa Coram and Mike Webster review the market’s changing character, levels to watch and how to adjust your portfolio – and your expectations – accordingly.

The first estimate to Q1 GDP came in at 1.6%, well below the 2.3% consensus. Core inflation on a year-over-year basis also came in above expectations, raising fears of stagflation. Stocks moved off lows even as the 10-year Treasury yield rallied above 4.70% and hit a five-month high. It’s been an orderly pull back for Southern Copper so far; Sweetgreen is holding support at its 10-week line; Blue Owl Capital is still in a buy zone ahead of earnings next week.

Breadth was weak all day even when the Nasdaq was near session highs. The 10-year yield rose near its high for the year, up 5 basis points to 4.65%. After earnings reports from META and ServiceNow, Microsoft and Alphabet are next up on the earnings calendar. Stocks to watch include Hubbell, Ingersoll Rand and Natera.

The indexes rose solidly for a second straight session, but don’t get excited yet by the nascent rally attempt, especially with earnings season kicking into high gear. TransDigm is on the cusp of a buy signal amid strength in aerospace names. Neurocrine Biosciences jumped toward possible entries on positive drug news. Chipotle is setting up nicely with earnings on tap.

Indexes faded into the close but still ended with solid gains. But don’t be tempted. One day isn’t enough to change a trend. Still it’s worth noting stocks that are doing well. On the defensive end, Church & Dwight broke out of a flat base, Alphabet has reestablished itself as a relative strength leader and Heico is flirting with resistance around 200.

The major indexes suffered significant losses Friday, with the S&P 500 breaking below the key 5,000 level. Last Friday was an expectation breaker, signaling more weakness could follow – and that’s exactly what we got. The bull market precedent of 2003 is officially broken. Nvidia and SMCI provide two big clues about the market’s unhealthy action, while Sprouts is one of the few setups out there to watch. Mike Webster provides homework to get you ready for next week.

The Nasdaq composite and S&P 500 extended their losing streaks to five sessions after early gains faded. The Nasdaq held up relatively well despite an earnings sell-off for Taiwan Semiconductor. The 10-year Treasury yield added 5 basis points to around 4.64%. Embraer and Quanta Services are pulling back in constructive fashion, while Texas Roadhouse is setting up in a new base.

The 10-year Treasury yield dropped 7 basis points to around 4.59%, but sellers still hit growth stocks hard. Oil fell 3% to around $82.75 a barrel. Eli Lilly initially popped on positive news but couldn’t hold gains; Itron is setting up in a nice base; Google parent Alphabet is still showing strength with a relative strength line near highs.

The major indexes held their ground despite comments from Fed chief Jerome Powell, but remain below their 50-day moving averages. Some leading stocks had solid sessions, including Sea Limited, DraftKings and Datadog.

The back-and-forth between Iran and Israel is still putting some pressure on stocks and raising volatility. An early morning gap up faded and then some by the close with few areas left unscathed. Atkore had a nice move higher finding support at its 10-week line as did Casey’s General Stores. Meanwhile, HealthEquity has been skirting around its 10-week line for a few weeks now and just isn’t bowing to downside pressure.