Dow futures tilted higher late Thursday, while S&P 500 futures were little changed and Nasdaq futures fell as Treasury yields rose slightly. The stock market rally saw a strong session on Thursday, as the S&P 500 and Russell 2000 index joined the Dow Jones in a new high. The Nasdaq Composite led strong gains, but the volume was subtle.
On Wednesday, the International Development Bank announced that the uptrend has resumed with the Dow Jones index closing at a new high and breaking many real economy stocks. The stock market rally widened further on Thursday. The Nasdaq made a strong move, as it regained some key levels, even though it didn’t qualify to be Follow-up day. Growth stocks rebounded.
After closing, DocuSign (DOCU) And the Ulta Beauty (ULTALeading earnings reports. DOCU stock is down slightly late despite strong results and guidance. Ulta’s stock is down due to a weak outlook and CEO exit.
while, Novavax (NVAX) It reported an efficacy rate of 96.4% versus the original coronavirus strain in the final analysis of the Phase 3 UK trial. NVAX shares jumped overnight.
Shares in buying areas
Global steel giant ArcelorMittal (MT), Power generators and engine maker Regal Benoit, contract electronics manufacturer Jbeil circuit (JBL), The new shipping subscription Zim Integrated Shipping Services (ZIM) And the Find out finances (DFSIt all broke out on Thursday.
MT stocks and others have them all Relative strength lines At new highs, reflecting their outperforming against the S&P 500 index. RS lines are at new highs while still at the base or breakout, in particular a bullish trend. And therefore MarketSmith These arrows are marked by a shaded blue dot at the end of the RS line.
Arcelor Mittal, Regal Benoit, Discover and Google shares joined Microsoft in IBD Leaderboard. Microsoft stock is on Long-term leaders of IBD. Google Stock is located at List of 50 IBD. RBC shares were on Thursday IBD stocks today.
Dow Jones futures today
Dow futures rose 0.2% against fair value. S&P 500 futures were roughly flat. Nasdaq 100 futures lost 0.3%.
The Treasury yield increased slightly to 1.55% in the extended trade.
The number of coronavirus cases worldwide has reached 119.11 million. The death toll from Covid-19 has surpassed 2.64 million.
The number of coronavirus cases in the United States has reached 29.21 million, with the number of deaths exceeding 543,000.
President Joe Biden said late Thursday that he will direct states to make all adults eligible for the coronavirus vaccine by May 1. Vaccination rates continue to rise while vaccine supplies increase.
Novavax said its Covid vaccine had a 96.4% efficacy against the most common strain in its Phase 3 trial. In a Phase 2B trial in South Africa, the Novavax vaccine had an efficacy rate of 55.4% against HIV-negative participants, as the dominant B1.351 variant there proved difficult to prevent between different vaccines.
Nevertheless, the Novavax vaccine was 100% effective in preventing severe disease, including all hospitalizations and deaths.
Novavax won’t seek US approval until data from a US trial is released, but it should show strong results as well.
Novavax shares rose more than 20% overnight. NVAX stocks rose in late January to early February based on initial vaccine results, but put back nearly all of that before the latest rebound.
The stock market rises
The stock market recovery widened as more indices hit record highs, broke more stocks and growth names continued to recover from the heavy sell-off. President Biden on Thursday signed the $ 1.9 trillion spending bill into law.
The Dow Jones Industrial Average rose 0.6% on Thursday Stock market trading. The S&P 500 rose 1% and the Russell 2000 small capital advanced 2.3%, both of which hit record highs. The Nasdaq Composite Index jumped 2.5%, and its index has recovered 21-day exponential moving average And a 50-day streak.
Prior to Thursday’s opening, the 10-year Treasury yield fell to 1.48% and subsequently increased to around 1.54%. The yield closed 1 basis point higher at 1.53% after a 30-year Treasury auction. Yields fell on Wednesday after the 10-year Treasury auction.
between the The best ETFs, The Innovator IBD 50 ETF (fifty(Up 4.5%, while the Innovator IBD Breakout Opportunities ETF)fitIncreased by 4.75%. They both bounce over the fifty days’ lines. IShares Technology and Software Expanded Fund (ETF)IGV3.1%, with Microsoft stocks Its biggest contract. (VanEck Vectors Semiconductor Foundation)SMHAdvance 4.2%.
Reflecting more speculative stories stocks, the Ark Innovation ETF jumped 6.2% and the Ark Genomics ETF 5.6%.
Read The Big Picture Every day to keep up with the market trend, stocks and leading sectors.
Blue dot specials
Arcelor Mittal rose 7.7% to 26.77, surpassing 25.85 buy points from a Cup base In the largest volume since June 30 Relative strength line MT stock is at a new high. This makes Metal a special blue point.
Regal Benoit rose 3.6% to 148.82, above 147.07 buying points from the cup base. The volume was the largest in years for an RBC stock.
Zim Integrated Shipping stock rose 14.5% to 23.35, hitting a new high and shedding 22.68 buyout points from The primary offering. Trading volume was the largest since February 2, which is the fourth day of trading on ZIM stock. ZIM IPO went public at 15 shares and quickly launched before the pause, which is a strong measure for a new release. Zim profitable with booming EPS growth in the last quarter. It is scheduled to present its first earnings report as a public company on March 22.
Discover Financial rose 2.7% at 102.27, above 101.06 buy points. Volume was below average for DFS stock, with the trend continuing.
Jabil Circuit shares jumped 5.25% to 47.71, surpassing 42.28 buyout points from A. Flat base In above average trade. This comes on the heels of a strong bullish trend for the JBL stock from early November to mid-January. Note that Jabil’s earnings are due next Tuesday, so that leaves little room for JBL’s stock to gain a significant amount of support.
Stock buying technical signals flashing
Dynatrace stock rose 5.9% to 54.11, breaking a downtrend starting from the February 9 peak of 56.77. As the market corrected, DT stock fell slightly to its old base, but found support at the 50 day line and recovered quickly. This is much better than most growth software names. Investors may take small positions now, and may use the close, Wednesday’s low, 50.46, as a sell signal.
Microsoft shares surged 2% to 237.13, and regained again the 232.96 buy point and 21-day streak. MSFT stock is only 2.2% higher than the 10-week streak, providing a potential entry as a long-term leader. Microsoft stock could form a new base with 246.23 entry. Keep in mind that the MSFT RS line has been delayed by several months. But it has held up better than most technologies in the past few weeks.
Google stock rose 3.2% to 2,100.54, rebounding again from the 21-day streak. GOOGL share price is 2,145.24 Three tight weeks Login. Investors can enter early here, with Google’s stock closing above any previous weekly close. Also, the RS line is just below last week’s high.
Stock market rise analysis
On Wednesday, the Dow Jones index moved to a new high. The price action and action that day was strong enough to be a Follow-up day, But IBD determined that the Dow had never declined enough to be considered a correction. So the market trend has shifted to “resume resumes”, with a strong bias towards real economy stocks.
So, the question heading into Thursday is how the divided market will behave. Will the Nasdaq index join the uptrend or will it pull the wider market again?
On Thursday, the Dow Jones Index moved to a new high, while the S&P 500 and Russell 2000 also posted gains.
The Nasdaq Composite Index rose strongly above key levels. But Nasdaq trading volume decreased slightly versus Wednesday. So Thursday did not qualify as a follow-up day to confirm the Nasdaq market rally.
Rising Treasury yields have put pressure on growth stocks and have been a major catalyst for the heavy selling in recent weeks. If the 10-year Treasury yield manages to hold in its latest range of 1.4% -1.6%, the markets may take a big step. A gradual rally of around 2% may also not spur selling.
What investors should do now
As the market returns to the upside, investors should look to increased exposure. Look for stocks that are exploding or sending other bullish signals. Most of these will be true economic names, with the exceptions of Dynatrace, Microsoft and Google.
Most growth stocks have major repair work to do. Yes, if you buy these names while bouncing off the bottom and keep running, you will see big gains. But if the Nasdaq does reverse, the selling could be just as fierce. The goal is not to buy at the lowest possible price, but at a price where your odds of success are highest.
Investors can also buy ETFs, such as the SPY or sector-wide ETF. More aggressive traders may step in to QQQ or a growth ETF such as IGV, SMH or FFTY as a way to play the rise of growth with a few individual names in positions.
Don’t feel obligated to step into gas, especially in this unusual segregated market. You might want to save some powder for growth stocks if and when these names become feasible again. Also, if the Nasdaq index resumes the heavy selling, the broader market will come under pressure.
Let the stock market pull you in. If the rally gains strength and breaks more arrows, you will gradually increase your exposure.
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