The Dow Jones futures, along with the S&P 500 and Nasdaq 100 futures, fell slightly on Monday night, with the stock market rebounding at record highs. Bitcoin grew more than 18% after Tesla bought $ 1.5 billion in cryptocurrency. Technology titan Nvidia and Dow Jones leader Disney have surpassed the new point of purchase.
X
The stock market contributed to last week’s torrid gains, with Nasdaq’s heavy compound rising 0.95%. The S&P 500 was up 0.7%, while the Dow Jones Industrial Average was up 0.8%.
Among Dow Jones leaders, Apple (AAPL) rose 0.1%, while Microsoft (MSFT) also rose 0.1%. Apple’s stock remains below its recent point of purchase, while Microsoft is now out of purchase range. Nike (NKE) is approaching a new point of purchase after optimistically recovering a key level in recent sessions. Disney (DIS) burst after a new buying point on Monday amid a sharp rise.
Tesla (TSLA) rose 1.3% on Monday with Bitcoin news and is again approaching its peak.
Among the main actions in or near shopping areas, the chip giant Nvidia (NVDA) is in the purchase range above an initial point of purchase, while Dropbox (DBX) is trying to overcome a new point of purchase.
Apple, Microsoft and Tesla are shares of the IBD Leaderboard. Nvidia was the IBD stock of the day, while Dropbox was the choice of the IBD 50 stock to watch on Monday. Meanwhile, Nike was featured in this week’s Stocks Near A Buy Zone.
Dow Jones Futures Today: Biden Stimulus Talks
After the stock market closed on Monday, the Dow Jones futures, along with the S&P 500 and Nasdaq 100, were lower in relation to fair value. Remember that trading in Dow Jones futures and elsewhere does not necessarily translate into real trading in the next regular stock market session.
Late Friday, the House voted to confirm the fast track to President Biden’s $ 1.9 trillion stimulus package. The budget resolution allows Biden’s stimulus plan to be approved by an absolute majority, rather than needing 60 votes in the Senate to avoid an obstruction.
Joe Biden’s President Twitter account emphasized the importance of acting quickly, “We have no second to lose when it comes to giving the American people the relief they desperately need. I am asking Congress to act quickly and approve the American Rescue Plan.”
Meanwhile, Mayor Nancy Pelosi said the bill would be approved by the end of the month.
Among the exchange-traded funds, the Innovator IBD 50 (FFTY) grew 2.4% on Monday. The Nasdaq 100 ETF Invesco QQQ Trust (QQQ) was traded up to 0.7%. Meanwhile, the SPDR S&P 500 ETF (SPY) was up 0.7%.
Overview of the US stock market today |
||||
|---|---|---|---|---|
| Index | Symbol | Price | Gain / Loss | % Change |
| Dow Jones | (0DJIA) | 31385.02 | +236.78 | +0.76 |
| S&P 500 | (0S and P5) | 3915.58 | +28.75 | +0.74 |
| Nasdaq | (0NDQC) | 13987.64 | +131.34 | +0.95 |
| Russell 2000 | (IWM) | 227.27 | +5.62 | +2.54 |
| IBD 50 | (FFTY) | 47.72 | +1.11 | +2.38 |
Last updated: 4:36 PM ET 8/2/2021 |
||||
Overheating of the stock market?
Looking back at the current upward trend, November was an important month for the stock market. IBD’s The Big Picture signaled the new upward trend after the next day of the market’s rise on November 4th. Meanwhile, early February saw the Dow Jones Industrial Average, Nasdaq and S&P 500 break records. But is the stock market boom overheating?
Monday’s Big Picture warned: “Investors who have been buying in the breaches may enjoy the fruits of their trades, but need to ask themselves whether the stock market is overloaded. The Nasdaq and S&P 500 are close to penetrating trend lines touching index highs that go back to November. As Big Picture has repeatedly noted, the Nasdaq gap with its 50-day moving average is dangerously high. “
He continued: “If the stock market falls, one of the first signs will be erosion in the main shares. So far, these premium shares are holding up well. The IBD 50 has risen 1.4% and is close to new highs.”
Due to the recent strength, investors may again adopt an offensive stance, knowing that there are still good reasons for caution. Look for stocks that are overtaking new points of purchase, like Disney, Dropbox and Nvidia.
Focus on the actions that showed strong relative strength during the recent weakness. They may be some of the market leaders if the indices continue on their record highs.
Stock market ETF strategy and how to invest
Bitcoin Price
Bitcoin’s price rose more than 18% to its all-time high on Monday after Tesla said it bought $ 1.5 billion in Bitcoin for “more flexibility to further diversify and maximize the return on our cash, “according to a SEC document. The electric car leader also said he would start accepting Bitcoin payments.
Bitcoin’s price reached $ 46,720 before reducing earnings to around $ 46,200 in night trading, according to Coindesk.
The Grayscale Bitcoin Trust (GBTC) is up more than 20%, as it continues to recover from its 50-day moving average line.
Dow Jones Shares: Disney, Nike
Disney’s Dow Jones stock has burst and is in the buying range above 183.50 points of purchase on a flat basis, according to analysis by the IBD MarketSmith chart. The 5% buying area rises to 192.68. Disney shares advanced 4.9% on Monday.
Disney will report earnings after closing on Thursday.
In another part of the Dow 30, Nike is designing a new flat base with a purchase point of 148.05. The shares fell 1.2% on Monday.
Nike shares have optimistically recovered its 50-day moving average line in the past few sessions.
Actions in or near purchasing zones: Dropbox, Nvidia, ServiceNow
The stock choice to watch Monday’s IBD 50, Dropbox, is trying to exceed a 25.26 point of purchase on a canopy basis. The shares rose 3.5% on Monday, before reversing slightly downward. The stock is just below the new point of purchase.
According to IBD Stock Checkup, Dropbox stock has a perfect rating of 99 IBD Composite. The Composite Rating – an easy way to identify the main growth stocks – is a mix of fundamental and technical metrics to help investors assess a stock’s strengths.
Dropbox ranks 42nd on the IBD 50 list.
IBD Leaderboard stock Nvidia is drawing a flat base with a 587.76 point of purchase. The shares are just 2% of the entry amid the 6.2% advance on Monday. But stocks are also moving above an early entry at 560.07. Investors can start with a small position at this alternative point of purchase.
According to the Leaderboard comment, “Nvidia has released an alternative entry from its January highs. The stock continues to work on a flat or disk base. Nvidia has been reduced to a quarter of the position on January 27, but has returned halved with today’s move. “
IBD Live: a new tool for daily stock market analysis
Tesla Stock
The shares of the IBD Leaderboard Tesla reached record highs on Monday, rising more than 1% after the company’s Bitcoin news.
The January 8 IBD Day Stock column signaled that Tesla was showing several signs of a climax amid a sharp vertical run in recent weeks. But so far, the stock is showing tremendous resilience after breaking records in recent weeks.
On January 25, Tesla’s shares reached a record high of 900.40. Shares are about 84% above 466 buying points in a cup with handle amid Monday’s action.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones’ top stocks, Apple rose 0.1% on Monday, but remains below its 138.89 buying point in a cup with cable. The shares withdrew from entry on January 28.
Meanwhile, Microsoft recovered 0.1% on Monday. The software giant’s shares have surpassed a buying point of 228.22 in recent sessions and are outside the 5% buying zone that rises to 239.63.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more information on growth stocks and Dow Jones futures.
YOU MIGHT LIKE:
Main growth actions to buy and observe
Learn how to time the market with IBD’s ETF market strategy
See the stocks on the list of market leaders with the IBD leaderboard
Looking for the next big stock market winners? Get started with these 3 steps
How to search for growth stocks: why this IBD tool simplifies the search for the main stocks