Dow Jones Futures: Market Rally Has This Risk As Roku, AMD Lead 8 Stocks Near Buys; Tesla FSD Beta Updated

3 weeks ago 8
PR Distribution

Dow Jones futures volition unfastened Sunday afternoon, on with S&P 500 futures and Nasdaq futures. The banal marketplace rally shrugged disconnected a Thursday greeting tumble, with the large indexes closing Friday fundamentally astatine grounds highs. Tesla (TSLA) and Virgin Galactic (SPCE) are successful absorption implicit the weekend, on with a further China crackdown connected U.S. IPOs.

X

Roku (Roku), Advanced Micro Devices (AMD), Vale (VALE), Upwork (UPWK), Ford Motor (F), Victoria's Secret genitor L Brands (LB), Zscaler (ZS) and Cimarex Energy (XEC) are stocks with bullish enactment this past week from beardown areas of the market.

LB and ZS banal are the lone ones supra authoritative buy points. But Roku stock, AMD, Vale and, arguably, Ford are actionable now. UPWK banal and Cimarex person a small much enactment earlier tripping aboriginal oregon authoritative entries.

Even starring stocks volition thin to travel the wide market, which is wherefore Roku, AMD and these different names tumbled and rebounded connected Thursday. But radical and manufacture enactment besides is important.

The wide banal marketplace rally showed resilience. But bouncing backmost truthful quickly, particularly connected airy volume, carries its ain risk.

China IPO Crackdown

China's cybersecurity regulator said Saturday that companies with information from implicit 1 cardinal users indispensable question its support erstwhile listing overseas owed to risks specified accusation could beryllium "affected, controlled, and maliciously exploited by overseas governments."

The Cyberspace Administration's edict comes aft ordering ride-hailing elephantine Didi Global (DIDI) and 2 different caller U.S. IPOs to suspend caller idiosyncratic registrations, portion besides ordering app stores to propulsion Didi's app.

Didi banal plunged 22% past week, portion galore different Chinese companies besides sold off. In summation to the grounds Alibaba (BABA) antitrust good and related remedies earlier this year, Beijing is imposing sweeping controls connected net and data-centric companies.

Earnings On Tap

Earnings season volition get underway this coming week. Dow Jones giants JPMorgan Chase (JPM) and Goldman Sachs (GS) footwear disconnected slope net connected Tuesday, with Bank of America (BAC) and Wells Fargo (WFC) owed Wednesday and Morgan Stanley (MS) connected Thursday. Meanwhile, Delta Air Lines (DAL) reports connected Wednesday, with UnitedHealth (UNH) and Taiwan Semiconductor (TSM) connected Thursday.

Tesla and Ford banal are connected IBD Leaderboard, portion Roku and UPWK banal are connected the Leaderboard watchlist. Ford and Roku banal are connected SwingTrader. Roku banal besides is connected the IBD 50.

Dow Jones Futures Today

Dow Jones futures volition unfastened astatine 6 p.m. ET connected Sunday, on with S&P 500 futures and Nasdaq 100 futures.

Remember that overnight enactment successful Dow futures and elsewhere doesn't needfully construe into existent trading successful the adjacent regular stock market session.


Join IBD experts arsenic they analyse actionable stocks successful the banal marketplace rally connected IBD Live


Coronavirus News

Coronavirus cases worldwide reached 187.27 million. Covid-19 deaths topped 4.04 million.

Coronavirus cases successful the U.S. person deed 34.72 million, with deaths supra 622,000.

New U.S. coronavirus cases topped 27,000 connected Friday, the highest since precocious May, arsenic the more-infectious Delta variant becomes dominant. But hospitalizations and deaths stay low. Coronavirus vaccines supply beardown extortion vs. the Delta variant for superior illness.

Stock Market Rally

The banal marketplace rally yet closed with slim play gains, close astatine grounds highs. The Dow Jones Industrial Average edged up 0.2% successful past week's stock marketplace trading. The S&P 500 scale and Nasdaq composite precocious 0.4%. The small-cap Russell 2000 fell 1.3%.

The 10-year Treasury output fell 7 ground points to 1.36%. It deed a five-month debased of 1.26% connected Thursday.

Among the best ETFs, the Innovator IBD 50 ETF (FFTY) tumbled 2.4% for the week, portion the Innovator IBD Breakout Opportunities ETF (BOUT) gained 1.35%. The iShares Expanded Tech-Software Sector ETF (IGV) added 0.8%. The VanEck Vectors Semiconductor ETF (SMH) fell 1.1%, with AMD banal a notable component.

SPDR S&P Metals & Mining ETF (XME) eked retired a 0.55% play summation aft undercutting caller lows. The Global X U.S. Infrastructure Development ETF (PAVE) closed a fraction beneath breakeven. U.S. Global Jets ETF (JETS) slumped 2.1% arsenic Delta Covid fears proceed to measurement connected travel-related stocks. SPDR S&P Homebuilders ETF (XHB) fell 1.1%. The Energy Select SPDR ETF (XLE) tumbled 3.4% and the Financial Select SPDR ETF (XLF) slipped 0.7%.

Reflecting more-speculative communicative stocks, ARK Innovation ETF (ARKK) sank 2% and ARK Genomics ETF (ARKG) 2.2%, but some rebounded from their 200-day lines. Roku banal is the No. 2 holding successful the ARKK ETF, aft Tesla. Tesla banal is the No. 1 holding for Ark Invest overall.


Five Best Chinese Stocks To Buy And Watch Now


Tesla FSD Beta V9 Release

Tesla FSD Beta V9 was released astatine Friday midnight, letting a prime radical of owners trial the latest mentation of the driver-assist system. Expect videos highlighting FSD's pros and cons successful the days ahead. Despite their names, Autopilot and Full-Self Driving are L2 driver-assist systems, a agelong mode from afloat autonomous L5. But FSD gross has been important to Tesla, which hopes to present a monthly subscription version.

Meanwhile connected Monday, a long-awaited lawsuit involving Tesla's acquisition of SolarCity is acceptable to get underway. Tesla CEO Elon Musk is accused of buying SolarCity to debar a default, alternatively than a woody to adhd worth to the electrical automaker. Musk was SolarCity's largest shareholder, with immoderate household members cardinal executives and large investors.

Tesla banal fell 3.2% past week to 656.95, but recovered enactment astatine its 50-day and 200-day lines connected Thursday. TSLA banal has an assertive introduction astatine 700.10. While the stock terms has rallied somewhat from May lows, the relative spot line for Tesla banal is not acold from those 2021 lows.

Virgin Galactic Space Flight

Sunday's Virgin Galactic abstraction flight volition see billionaire laminitis Richard Branson, giving him bragging rights implicit Amazon (AMZN) laminitis Jeff Bezos. Bezos volition beryllium aboard a June 20 formation from his Blue Origin abstraction company. While Virgin Galactic's formation volition summation a batch of publicity, it's besides the launchpad for commercialized work and turning abstraction dreams into down-to-earth cash.

SPCE banal roseate 9.5% past week to 49.20. After much than tripling from mid-May lows, SPCE banal has consolidated successful volatile manner successful the past fewer weeks. Virgin Galactic arguably has a 57.61 grip bargain constituent from an highly heavy base.


Time The Market With IBD's ETF Market Strategy


Roku Stock

Roku banal edged up 0.3% for the week to 431.61. On Thursday, shares tested their 21-day exponential moving average, rebounding from conscionable supra a 397.79 introduction successful what could beryllium seen arsenic a double-bottom bargain point. Roku banal present has a grip buy point of 463.09. Investors could bargain Roku if it crosses a downward-sloping inclination enactment successful its handle.

Roku is simply a wide person among streaming media, acting arsenic a contented gatekeeper for assorted streaming services. Netflix (NFLX) is trying to acceptable up again, on with Comcast (CMCSA). Disney (DIS) reclaimed its 50-day enactment Friday.

AMD Stock

AMD stock past week tested its 21-day enactment and a anterior aboriginal introduction of 89.30 astatine Thursday's debased earlier rebounding. For the week, shares fell 4% to 90.90. AMD banal present has a cup-with-handle basal connected a play chart, presenting a 95.44 bargain point.

AMD is simply a rival to Nvidia (NVDA), which is greatly extended from immoderate bargain area. AMD banal is 1 of the more-promising semiconductor setups close now, on with respective chip-gear makers.

Vale Stock

Vale banal undercut its 50-day enactment intraday Thursday, but closed supra that cardinal level. It kept rising Friday. For the week, Vale banal dipped 0.3% to 22.42. Vale isn't acold from a 23.22 flat-base bargain point. Investors could bargain it present disconnected the 50-day, which has been a safer introduction precocious for Vale stock.

Vale is among the best-looking mining stocks close now, and is portion of the broader metals and mining assemblage that has been a large victor successful 2021.

Upwork Stock

UPWK banal tested its 21-day connected Thursday earlier rebounding. For the week, Upwork banal fell 1.1% to 57.83. It present has a cup-with-handle bargain constituent of 61.31, according to MarketSmith analysis.

UPWK banal is portion of the starring staffing radical arsenic companies are hopeless to find workers. Several staffing stocks are showing affirmative action, including AMN Healthcare (AMN).

Ford Stock

Ford banal connected Thursday fell intraday to 13.73, investigating its 50-day enactment and a anterior 13.72 cup-base bargain point. Shares rebounded from Thursday's lows and kept rising Friday. Ford banal inactive fell astir 3% to 14.49 for the week. Investors could person bought Ford banal from the 50-day bounce. But they besides could hold for a small much strength, letting shares retake the 21-day enactment and interruption a downward-sloping inclination line.

Ford is portion of the car manufacturers group, rated dormant past retired of IBD's 197 manufacture groups. But high-priced Tesla stock, good disconnected all-time levels, is distorting the price-weighted group's rankings. In summation to Ford, Stellantis (STLA), Volkswagen (VWAGY) and General Motors (GM) are mounting up.

L Brands Stock

LB banal tumbled beneath a 72.08 flat-base bargain constituent connected Thursday, but rebounded from conscionable supra its 10-week enactment to adjacent conscionable beneath the entry. On Friday, shares moved backmost into a bargain zone. LB banal roseate 0.8% to 73.46 for the week.

L Brands banal is 1 of respective apparel chains trading astir bargain points. American Eagle (AEO) and Urban Outfitters (URBN) besides are worthy watching, but sold disconnected harder past week and person not reclaimed bargain zones.


Why This IBD Tool Simplifies The Search For Top Stocks


Zscaler Stock

ZS banal jumped 6.1% to 227.79 past week, clearing a 224.04 cup-with-handle bargain point. On Thursday, Zscaler banal pulled backmost modestly to its 10-day line, but closed small changed, successful bargain range.

ZS banal had an aboriginal introduction conscionable beneath 200, cleared connected June 10.

Zscaler banal is 1 of respective top-performing cybersecurity names, including CrowdStrike (CRWD) and Fortinet (FTNT).

Cimarex Stock

XEC banal edged up 0.6% for the week to 74.14 aft concisely investigating its 50-day enactment Thursday. The shale relation has an authoritative bargain constituent of 75.02. Investors could bargain XEC banal now, based disconnected the 50-day enactment and breaking a mini downtrend, oregon hold for an authoritative breakout.

Cimarex is 1 of the apical stocks successful the No. 1-rated Oil & Gas-U.S. exploration & accumulation group. There are galore large winners from lipid and state groups, but astir of those are extended.

Market Rally Analysis

Friday's banal marketplace rally, pursuing Thursday's rebound from lows, was encouraging. The S&P 500 deed an all-time precocious Friday portion the Dow Jones and Nasdaq acceptable grounds closes. Even the Russell 2000 reclaimed its 50-day line. Several stocks flashed bargain signals, including Roku stock, Ford and L Brands.

However, Friday's terms gains came connected precise airy volume.

The biggest interest with the banal marketplace rally is that it's doing excessively well. The Nasdaq is 5.6% supra its 50-day moving average. That's not extended but it's not acold from being so. The Nasdaq 100 is 6.6% supra its 50-day line.

That raises the question of however overmuch country the banal marketplace rally has to tally earlier different pullback, particularly techs. Running up connected airy measurement adds to the risk.

Of course, the adjacent pullback could beryllium similar past Thursday's, momentarily alarming portion offering buying opportunities for the brave.

What To Do Now

After the past week, investors should measure their portfolios. Are determination laggards to trim oregon exit? Are you comfy with your wide exposure? Are you excessively concentrated successful immoderate starring sectors and underweight successful others?

Try to person a diverseness of leadership, with apical stocks from a assortment of sectors. Cast a wide nett arsenic you update your watchlists, with a peculiar oculus connected stocks that you're astir funny in.

Revisit immoderate past trades from 2021. Are you buying the close stocks astatine the close time, oregon are you buying extended oregon laggard stocks? Did you grip selling well? See what lessons you tin instrumentality to amended existent and aboriginal trades.

Read The Big Picture every time to enactment successful sync with the marketplace absorption and starring stocks and sectors.

Please travel Ed Carson connected Twitter astatine @IBD_ECarson for banal marketplace updates and more.

YOU MAY ALSO LIKE:

Long-Term Leader Leads 5 Stocks Near Buy Points

Best Growth Stocks To Buy And Watch

IBD Digital: Unlock IBD's Premium Stock Lists, Tools And Analysis Today

Why This IBD Tool Simplifies The Search For Top Stocks

These 2 Payment Giants Toy With Buy Points As They Expand Markets 

Read Entire Article