Dow futures will open Sunday evening, along with S&P 500 futures and Nasdaq futures.
The stock market rally paused in a week shorter than the holiday. Leading indicators slipped modestly but held key levels even as Fed policy makers indicated that a rate hike is likely to be held for several more meetings. But it is not clear whether the recent market movement is bullish or bearish.
Investors can have little to modest exposure, but they must be prepared to hold back.
Apple is holding its annual Worldwide Developers Conference next week. apple (AAPL) will show the latest changes in the operating system. There is hype that Apple WWDC will reveal an NFL broadcast package. However, Apple stock fell strongly on Friday, closing lower for the week.
Tesla shares fell on Friday and throughout the week as Tesla CEO Elon Musk reportedly wants to cut 10% of salaried jobs amid “a very bad feeling” about the economy.
Northrop Grumman (No objection certificate), dollar tree (DLTR), Flex LNG (FLNG), Albemarle (ALB) And the Integrated ZIM Resources (ZIMFive stocks are trading nearby buy points. Everyone has Lines of relative force At or near altitudes, a bullish sign. The RS line, the blue line in the provided charts, tracks the stock’s performance against the S&P 500 Index.
Shares of the North Oil Company and Albemarle are in operation IBD Leaderboard. ZIM is located in defect 50. The video included in this article discusses this week’s market rally and analyzes Northrop, DLTR, and ALB stocks.
Dow jones futures contracts today
Dow Jones index futures open at 6 p.m. ET on Sunday, along with S&P 500 and Nasdaq 100 futures contracts.
stock market rise
The stock market rally eased modestly during the week, despite some big daily moves in the major indices.
The Dow Jones Industrial Average is down nearly 1% in the past week stock market trading. The S&P 500 lost 1.2%. The Nasdaq Composite is down 1%. Small cap Russell 2000 fell 0.2%.
The 10-year Treasury yield jumped 21 basis points to 2.96%, rebounding around 3% amid generally strong economic data and hawkish comments from the Federal Reserve. It comes after three weeks of big drops in the 10-year yield.
US crude oil futures rose 3.3 percent to $118.17 a barrel last week. Gasoline futures rose 8.7%.
between the Best ETFsThe Innovator IBD 50 ETF (fifty) rose 1.2% last week, while the Innovator IBD Breakout Opportunities ETF (fit) gave up about 1%. iShares Expanded Technology and Software Fund (ETF)IGV) jumped 0.7%. VanEck Vectors Semiconductor Corporation (SMH) sank 1.5%.
SPDR S&P Metals & Mining ETF (XME) down 2.2% last week. Global Infrastructure Development Fund X US (cradle) decreased by 0.2%. US Global Gates Foundation (ETF)Planes) down 4.6%. SPDR S&P Homebuilders ETF (XHB) down by 1%. SPDR Specific Energy Fund (SPDR ETF)XLE) gained 1.1% and the Financial Select SPDR ETF)XLF) decreased by 2%. SPDR Healthcare Sector Selection Fund (XLV) slipped 3.1%
Shares reflect more speculative stories, the ARK Innovation ETF (see you) down nearly 5% last week and the ARK Genomics ETF (ARKG) 3.7%. Tesla stock continues to rank number one among Ark Invest’s ETFs.
At Apple’s WWDC event from June 6-10, giant Dow Jones Tech will showcase changes to its various device operating systems: iOS, iPadOS, macOS, watchOS, and tvOS. Media reports speculate that Apple may reveal a deal to transfer NFL football games, such as the NFL Sunday Ticket package. Apple TV+ announced a deal to move Major League Baseball games on March 8. Increasing sports content is a way to attract and keep subscribers, but it won’t come cheap.
Apple’s stock is down 2.85% for the week to 145.38, including 3.9% on Friday to drop below the 21-day streak. AAPL stock is far from any buying point and is well below the 50-day and 200-day lines.
Tesla’s ‘Too Bad’ Sale
Tesla stock fell 7.4% to 703.55 last week, tumbling 9.2% on Friday to return below the 21-day streak. CEO Elon Musk has reportedly announced a hiring freeze and wants to cut 10% of paid jobs at Tesla due to what he called a “very bad feeling” about the economy. Those comments were in an email Thursday to Tesla executives, Reuters reported Friday.
Musk’s comments to the email raised questions. Big job cuts may indicate weak demand, although Musk apparently said hourly production workers will increase. But current demand for Tesla appears strong, especially as auto production continues to be restricted. The EV giant has just added two new plants and is forecasting 50% growth for years to come.
On Saturday, Musk tweeted that total employment will rise over the next 12 months, but that paid jobs will be “flat.”
Meanwhile, the National Highway Traffic Safety Administration said Friday it had received 758 reports of “phantom braking” — on some 2021 and 2022 Model 3 and Y vehicles. NHTSA, on May 4, requested information from Tesla by June 20.
Separately, the NHTSA will release automated driving accident data this month, The Wall Street Journal I mentioned Friday. NHTSA is investigating a number of Tesla accidents involving autopilot.
Stocks near the points of purchase
Northrop stock rose 3.35% to 478.37 Friday, topping 477.36 points cup with handle Point purchase. NOC stock tested the 50-day line on Thursday and basically formed a handle within a big handle. Northrop stock is still only 4.8% above the 50-day streak.
Dollar Tree stock fell 3.1% last week to 159.88, but settled above the 50-day moving average. Stocks stabilized after a major fall and rebound. DLTR stock collapsed for the first time on earnings and weak guidance from Walmart (WMT) And the targeting (TGT), but then rebounded on the same Dollar Tree earnings a week later. On the weekly chart, Dollar Tree stock formed a handle, giving it 166.45 cups with a buy point handle. On the daily chart, the handle needs another day to form, so the dollar tree on this scale has 177.29 cup base Point purchase.
FLNG stock rose 7.6% last week to 29.74, bouncing higher from the 50-day line, providing an early entry. The official booster purchase point is 32.88, according to MarketSmith Analysis. Ideally, LNG would pause for a few days, until a handle is formed, allowing the 50-day streak to gain more ground.
ALB stock has had a massive week. After rising nearly 15% in the previous week, surpassing the early entry level around 248, the lithium giant fell to 232.75 on June 1, although it found support at the 21-day line. Albemarle stock ended the week 7.4% lower at 250.76, above that early entry. On the weekly chart, ALB stock now has a buy handle at 273.78. This will appear on the daily chart after Monday. But a longer pause would allow the 50-day streak – which is still less than 200 days – to catch up. Albemarle stock is up 35% in May, thanks to two big upward revisions to full-year earnings targets amid rising lithium prices.
ZIM stock fell 6.4% on May 31, but rebounded to close the week down just 0.5% to 67.70. Technically, ZIM stock now has a handle on the weekly chart, giving it 68.63 buying points. That handle could develop after Monday’s close, but apart from the May 31 falter, there wasn’t much jitter. Also, ZIM stock is up 11.9% above the 50-day line.
Market Rise Analysis
The stock market rally paused last week, with major indexes retreating modestly, mostly due to Friday’s losses. The major indices maintained their 21-day moving averages and the bulk of their gains from the previous week.
Was last week positive for market rally or ominous? It depends on what comes next. The pullback wasn’t a huge surprise after the solid gains. Some handles are allowed to be configured. But was this a pause before the major indices rebound, or the beginning of a dip back to lower levels? The rally above this week’s highs may be just one step closer. The 50-day moving average of the major indicators looms large, with several other major hurdles ahead.
Last week, Fed officials made it clear that they won’t stop tightening until they see inflation drops sharply and labor markets decline dramatically. But this process will be painful for the economy. The fact that the stock market sold out on Friday on Musk is said to want big cuts in Tesla jobs And the The May jobs report showing strong employment shows how investors are not entirely sure of the “good news” at the moment.
Energy remains strong, with shale oil plants and refineries, integrated giants, coal producers and LNG players such as FLNG stock still thriving. Solar stocks are rising again. Shippers like ZIM stock, lithium plays like Albemarle, some retailers like Dollar Tree and several construction-related companies look intriguing as well.
What are you doing now
Investors may have added or reduced exposure in the past week, based on the work of the major indices and their own positions. In any case, exposure should remain modest.
In the long run, there will be tremendous opportunities for investors. We may be at the start of a big bull race. Or this could be a short-term bounce inside an extended bear market. Keep most of your powder dry so you can use it when the tide turns visibly.
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