Dow futures: Technicians lead the stock market to recovery; Investors see the end of the Fed’s rate hike

Overnight Dow futures were little changed, along with S&P 500 futures and Nasdaq futures. The stock market closed mixed on Tuesday, but technology led a solid rebound even with recession fears from Treasury yields and commodity prices.

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The Dow Jones closed lower, but off good dips, while the S&P 500 made small gains. The Nasdaq has made solid progress, with strong growth names such as Roblox (RBLX) And the datadog (DDOG) back above the 50-day lines. apple (AAPL), Amazon.com (AMZN) and Google Parent the alphabet (The Google) short-term key level regained.

Meanwhile, crude oil prices have fallen below $100 a barrel. Gasoline, copper and wheat futures fell sharply, extending significant losses over the past few weeks.

The Treasury yield curve has inverted between the two-year and 10-year bonds, which is a noticeable sign of recession. Markets are still seeing a very tight Fed in the next two meetings, but they are also expecting a rate hike this year.

dollar tree (DLTR), halozyme treatments (Hello) PRVA stock showed upward movement on Tuesday. while, Northrop Grumman (No objection certificate) And the United Health (United nations) fell but found major support.

Shares of North Oil Company and UnitedHealth are in operation IBD Leaderboard. DLTR stock is running SwingTrader. Google Inventory is on Long-term leaders of IBD. UN stock is in defect 50. Previa Health (PRVAIt was Tuesday IBD stock today.

The video included in this article looked at interesting market activity on Tuesday and analyzed Dollar Tree, Halozyme Therapeutics, and DDOG stock.

Dow jones futures contracts today

Dow Jones index futures fell against fair value. S&P 500 futures fell and Nasdaq 100 futures rose slightly.

US crude oil futures rose 2%, to exceed $100 a barrel.

The 10-year Treasury yield rose 2 basis points to 2.83%. The two-year yield rose by one basis point to 2.83%, with the two-year yield curve now flat to 10.

Remember to work overnight in Dow Jones futures contracts and elsewhere that does not necessarily translate into actual circulation in the next regular session Stock market session.

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stock market rise

The stock market rally sold out on Tuesday morning, but rebounded to close mixed at session highs.

The Dow Jones Industrial Average fell 0.4% on Tuesday stock market trading. The S&P 500 rose 0.2%. The Nasdaq Composite Index jumped 1.75%. Small-scale Russell 2000 rebounded 0.8%.

Shares of Apple, the Dow Jones, S&P 500 and Nasdaq giants rose 1.9%, above its 21-day moving average. Google shares popped 4.2% and Amazon 3.6%, also regaining the 21-day streak and closing in long-slipping 50-day streaks. All three megacap techniques are far from feasible.

Recession fears are roiling financial markets, especially commodities and bonds.

US crude oil prices fell 8.2% to $99.50 a barrel after having already pulled back significantly from the highs of early June. Gasoline futures fell 9%, continuing a rapid decline. Prices at the pump have fallen 20 days in a row, a trend that should continue.

Copper futures fell more than 4%, extending a long sell-off. Crop futures are falling sharply.

The 10-year Treasury yield fell 16 basis points to 2.81%. The two-year yield fell by 2 basis points to 2.82%, which means the yield curve is now slightly inverted.

Ed Yardeni of Yardeni Research raised the odds of a recession, albeit superficial and short-lived, to 55% from 45%.

The latest batch of leading economic indicators point to weaker concurrent indicators coming up. As a result, we raise the odds of a short-term shallow recession in the US economy to 55% (from 45%). This makes a recession now the base case scenario from which we derive our earnings and stock market outlook. …

Despite heightened recession risks — and the potential for inflation to decline significantly in the coming months — the Fed is still expected to raise interest rates by 75 basis points at its late July meeting and 50 basis points at its September meetings. However, markets only see quarter-point gains in the last two Fed meetings of the year, and now see no action in February 2023.

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ETFs

between the Best ETFsThe Innovator IBD 50 ETF (fifty) up 0.15%, while the Innovator IBD Breakout Opportunities ETF (fit) 1 cent higher. iShares Expanded Technology and Software Fund (ETF)IGV) gained 2.6%. VanEck Vectors Semiconductor Corporation (SMH) rose 0.6%.

SPDR S&P Metals & Mining ETF (XME(Down by 4.9% and the US Global X Infrastructure Development Fund)cradle) slipped 1.1%. US Global Gates Foundation (ETF)Planes) rose 0.2%. SPDR S&P Homebuilders ETF (XHB) gained 2.5%. SPDR Specific Energy Fund (SPDR ETF)XLE(down 4% and the Financial Select SPDR ETF)XLF) decreased by 0.3%. SPDR Healthcare Sector Selection Fund (XLV) sank 0.6%, with a major stake in UN stock.

Shares reflect more speculative stories, the ARK Innovation ETF (see you) jumped 9.1%, above the 50-day line. ARK Genomics ETF (ARKG), which on Friday closed just above 50 days, rose 8.2% to a two-month high. Ark Invest holds some shares of RBLX in its ETFs.

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stock to watch

Dollar Tree stock rose 5.5% to 164.84 in above-average volume, bouncing off the 50-day line and breaking the trendline from the late April peak, providing an early entry. DLTR stock has cup base with handle with handle buy point from 166.45. The line relative force It has already reached a new high, reflecting the dollar’s outperformance against the S&P 500 Index. ARCHIVE general dollar (DJ) is the scope of purchase on its own cup base with handle.

Privia Health stock opened lower, then bounced off the 21-day streak to rise. PRVA stock rose 7.4% to 31.04 in huge volume, and briefly reached an 11-month high of 33.88. Self-prescribed Uber for doctors’ offices extended a bit from 29.07 cup base point purchase. But investors can treat its recent stop above the buy point as a higher handle at 30.25 buy point. This higher handle can be viewed as a regular handle for longer consolidation going back to last November.

Halozyme stock rose 4.2% to 46.33, bouncing off the 50-day line and breaking a short but very steep downtrend. This could provide an early entry into HALO stock, which has a flat base at 48.68 buying points on a weekly basis. MarketSmith . Chart. who – which flat base It can be seen as a handle at a base dating back to February 2021. Halosem stock RS line is at a new high.

Meanwhile, Northrop stock fell 4.5% to 464.36, despite rebounding below the 50-day streak on the day. However, NOC stock nearly erased last week’s 4.9% gain that triggered buy signals.

UnitedHealth stock fell 2.35% to 505.24, but closed in the upper half of its range where it found support at the 50-day line. While below the double bottom buy point 507.35, the UN stock is not igniting any sell signals yet. UnitedHealth can now operate on a handle.

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Market Rise Analysis

Major indexes fell sharply shortly after Tuesday’s opening, but rebounded to varying degrees.

The Dow Jones closed lower, although far from its worst levels. The S&P 500 turned positive shortly before the closing bell. The Nasdaq rose again for solid gains, with Apple shares rising while DDOG, Roblox and Ark shares rose sharply, with falling Treasury yields likely a major driver.

Datadog jumped 7.25% above the 50-day streak. Roblox stock jumped 14% in volume heavy to its best level since late April. But these stocks are far from the highs.

The stock market rally is still in effect, although it came under pressure last week.

Apple, Google and Amazon shares regained their 21-day streak on Tuesday. All major indices are still below it, although the Nasdaq is close. The 50-day line, early June highs and several other resistance points lie above that short-term level.

Away from the downside risk in the 2022 bear market, apparently good stocks will flash buy signals, then quickly reverse lower.

Northrop stock and UN stock fall into this camp, although it may not be finished. It certainly wasn’t a good day for defense makers and health insurers.

Despite the difficult day for health insurers, pharmaceuticals are still the leading sector.

Ideally, the stock market moves sideways for an extended period. This will allow more stocks to create rules, while investors will get more clarity about the Federal Reserve and the economy. But the market will do what it will.

What are you doing now

Tuesday’s stock market movement was relatively positive, given raging recession fears in bond and commodity drilling. But the market rally is under pressure. There are few good stocks to buy or set up, and executable stocks are prone to sudden reversals.

Investors who buy, say, biotechnology, should keep their position small and be prepared to make quick profits and keep any losses small.

When a sustained rise in the market dominates, investors will have plenty of opportunities to increase exposure and let the winners work. For now, the focus should be on preparing for the upcoming bull market.

Read The Big Picture Every day to keep up with the trend of the market, stocks and leading sectors.

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These discounts are close to the point of purchase as the risk of recession increases