Dow Jones futures were little changed before Tuesday’s open after the Dow Jones Industrial Average rose 327 points on Monday. Meanwhile, Tesla shares fell below their latest buy point after the electric vehicle giant reported a record number of vehicle deliveries in the first quarter but still missed estimates, while analysts they see more price cuts ahead.
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stock market today
On Monday, the Dow Jones Industrial Average rose 1%, with UnitedHealth Group (UNH) and Chevron (CLC) the big winners. UNH shares rose 4.6%, while Chevron shares rose 4.2%. The S&P 500 gained 0.4%, while the tech-heavy Nasdaq Composite fell 0.3%.
electric vehicle leader tesla (TSLA) were trading 6.1% lower on Monday. Among the Dow Jones stocks, Apple (AAPL) rose 0.7% and Microsoft (MSFT) fell 0.4% in today’s stock action.
IBD Classification Table axon Company (AXON), service now (NOW)and Horizon (DARLING), as well as Dow Jones stocks Boeing (licensed in letters), cisco systems (CSCO) and Nike (NKE), are among the top stocks to buy and watch with the current strength of the market.
Boeing was featured in this week’s Stocks Near A Buy Zone column. Axon, Skyline and Microsoft were all recent subjects of IBD Stock Of The Day.
4 Top Growth Stocks to Buy and Watch on the Current stock rally
Dow Jones Futures Today: Oil Prices, Treasury Yields
Before the opening bell Tuesday, Dow Jones futures, S&P 500 futures and Nasdaq 100 futures were little changed versus fair value in overnight trading. Remember that overnight action in the Dow Jones futures and elsewhere does not necessarily translate into actual trading at the next regular stock market session.
The 10-year US Treasury yield fell to 3.43% on Monday, paring gains from last week. US oil prices rose on Monday as West Texas Intermediate futures traded above $80 a barrel, up more than 6%. Weekend, OPEC+ said it would cut more than a million barrels a day of production starting next month in a surprise move.
What to do in the stock market rally
Now is an important time to read IBD’s The Big Picture column with the stock market trending in a “confirmed uptrend” after last week’s strong gains.
Investors should look for opportunities to increase their exposure to the market. An exposure level between 20% and 40% makes sense immediately after one day of follow-up.
During confirmed uptrends, investors should focus on the fastest growing stocks that are breaking through the correct buy points.
Two useful IBD MarketSmith lists to check out right now are “Breaking Out Today” and “Near Pivot.” The latter shows stocks approaching buy points in the bases, and the other indicates stocks exceeding buy points during the session.
To find more stock ideas, check out the IBD Stock Lists, such as IBD 50, large cap 20 and stocks near a buy zone. These features identify bullish patterns and buy points and should be checked every day.
Learn to time the market with IBD’s ETF Market Strategy
Dow Jones Stocks to Buy and Watch: Boeing, Cisco Systems, Nike
Dow Jones leader Boeing is nearing a flat-based buy point of 221.43, according to pattern recognition from IBD MarketSmith. Shares rose 1.4% on Monday, just 3% off last entry.
Cisco Systems broke above the buy point of 51.84 on a flat basis during Friday’s 1.6% rise. But the volume was only slightly above average, a potential flaw. On the bright side, the relative strength line for stocks hit a new high in recent weeks, a sign of outperformance in the stock market. Shares added 0.1% on Monday.
Shares of Nike pulled back below their 50-day line on Monday, falling 0.8%, as they continue to trace a flat bottom that has a buy point of 131.41. An early entry at 126.16 is also in play.
Top Stocks to Buy and Watch: Axon, ServiceNow, Skyline
IBD leaderboard shares Axon closed above a buy point of 226.10 on Monday in a brief consolidation up 1.1%. Meanwhile, it also beat an early entry at 221.79, above the March 21 high last week.
background: Axon products are key to law enforcement as they help build public trust. Meanwhile, cloud-based software for managing police evidence, records, and communications makes officers more productive. One key metric gives insight into how indispensable police departments are to seeing their Axon contracts. In the fourth quarter, Axon posted 121% net income retention. That means the extended contracts more than make up for the minimal loss of customers.
Late last week, IBD SwingTrader pick ServiceNow decisively recaptured its 50-day line, moving sharply higher on the right side of a cup base with a buy point of 494.72. Be on the lookout for a potential handle to offer a lower input.
Background: NOW software tracks and manages the services provided by information technology departments. In addition, its self-service technology portal allows workers to access administrative and workflow tools.
In the latest quarter, the Santa Clara, California-based maker of enterprise software said earnings rose 56% to $2.28 per adjusted share. Revenue increased 20% to $1.94 billion.
Skyline snapped a five-day winning streak on Monday, falling 3.5%. The shares are below a buy point of 73.50.
Background: Headquartered in Troy, Michigan, Skyline produces and installs factory-built homes, park models, and modular buildings for families and the hospitality industry. It employs more than 8,100 people with 42 manufacturing plants across the US.
Skyline has posted earnings and revenue increases for the past nine quarters. The company’s profit increased 183% in fiscal 2022, while revenue increased 56%.
Join IBD experts as they discuss the top stocks in the current stock market rally on IBD Live
Tesla Stock
Tesla shares fell 6.1% on Monday, giving up Friday’s gains and slipping below a buy point of 200.76 in a glass with a handle. The stock closed Monday down 50% from its 52-week high.
On Sunday, CEO Elon Musk’s company It said it delivered 422,875 vehicles in the first quarter, about 36% more than a year earlier. The results did not meet the expectations of analysts surveyed by FactSet. They expected the company to deliver around 431,000 vehicles in the first quarter. However, Tesla beat some analyst forecasts.
On Tuesday, weekly electric vehicle insurance registration data in China could be an important indicator of demand for Tesla in the world’s largest EV market, which is in the midst of a major Tesla-initiated price war. .
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks, Apple shares rose 0.8% on Monday, extending a winning streak to four sessions and closing at its highest level since August 25.
Microsoft shares remain in the buy range beyond the buy point of 276.86 from a flat base despite Monday’s 0.4% drop. The stock is in the 5% buy area from the buy point to 290.70.
Microsoft shares rose earlier this month after the company announced it would add artificial intelligence tools to its popular suite of Office productivity apps. That follows the company’s investments in artificial intelligence startup OpenAI, the firm behind the much-talked-about ChatGPT app.
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