Futures Drop; Tesla Rival To Report Earnings

Futures Drop; Tesla Rival To Report Earnings

The Dow Jones Industrial Average dropped Monday, as the stock market paused after a two-day bounce off correction lows.


Twitter (TWTR) stock dropped more than 4% after Elon Musk said the company’s legal team accused him of violating a nondisclosure agreement. On Friday, Musk said his $44 billion deal to acquire Twitter was on hold due to questions regarding the number of fake accounts.

Electric-vehicle giant Tesla (TSLA) traded down around 1% Monday morning.

Elsewhere, Dow Jones tech leaders Apple (AAPL) and Microsoft (MSFT) traded down 0.9% and 0.85%, respectively, in today’s stock market. Meanwhile, McDonald’s (MCD) shares slipped a fraction after the company said it would quit Russia and sell its business there over its invasion of Ukraine.

As the stock market correction attempts to find a bottom, Dow Jones leaders Chevron (CVX) and Merck (MRK) — along with Cheniere Energy (LNG), Eli Lilly (LLY), Exxon Mobil (XOM) and Northrop Grumman (NOC) — are among IBD’s top stocks to watch for Monday.

Eli Lilly and Microsoft are IBD Leaderboard stocks. Exxon and Merck were featured in last week’s Stocks Near A Buy Zone column. Eli Lilly was Wednesday’s Stock of the Day.

Dow Jones Today: Treasury Yields, Oil Prices

After Monday’s open, the Dow Jones Industrial Average moved down 0.6%, while the S&P 500 fell 0.7%.The  Nasdaq sold off 1% in morning trade.

Among exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) fell 0.9%. The SPDR S&P 500 ETF (SPY) fell 0.7%.

The 10-year Treasury yield ticked lower to 2.9% Monday morning. The 10-year Treasury yield snapped a four-day losing streak Friday, jumping to 2.93%. Meanwhile, U.S. oil prices shed less than 1%, with West Texas Intermediate crude holding above $109 a barrel after a three-day advance.

Stock Market Rally Attempt

The major stock indexes finished with strong gains Friday. The Dow Jones Industrial Average rallied 1.5%, snapping a six-day decline, while the Nasdaq catapulted 3.8%.

Friday’s The Big Picture column commented, “So while many investors have likely raised quite a lot of cash and are afraid to touch equities, the market still needs a new host of excellent companies that show the key elements of CAN SLIM investing: rising fundamentals, outperformance vs. most stocks today, and evidence of rising fund ownership.”

If you’re new to IBD, consider taking a look at its stock trading system and CAN SLIM basics. Recognizing chart patterns is one key to the investment guidelines. IBD offers a broad range of growth stock lists, such as Leaderboard and SwingTrader.

Investors also can create watchlists, find companies nearing a buy point, or develop custom screens at IBD MarketSmith.

Five Dow Jones Stocks To Watch Now

Dow Jones Stocks To Watch: Chevron, Merck

Dow Jones leader and energy giant Chevron is in a flat base that has a 174.86 buy point, according to IBD MarketSmith chart analysis. CVX shares traded up 1.9% Friday, extending a win streak to four sessions. Shares bullishly regained their 50-day line and are about 4% away from the latest entry. Chevron shares rose 1% Monday morning.

Drug leader Merck remains above a cup-with-handle’s 89.58 buy point after shares fell 0.5% Friday. The 5% buy area goes up to 94.06. Shares gained nearly 1% early Monday. One positive signal, the stock’s relative strength line hit another high last week, indicating big stock market outperformance during the current stock market correction.

MRK stock boasts a 98 out of a perfect 99 IBD Composite Rating, per IBD Stock Checkup. Investors can use the IBD Composite Rating to easily gauge the quality of a stock’s fundamental and technical metrics.

Three Top Growth Stocks To Watch In The Current Stock Market Correction

Stocks To Watch: Cheniere, Eli Lilly, Exxon, Northrop

Cheniere Energy is one of the market’s top stocks to watch, even as it continues to trade below its 50-day line. Shares moved up 2.7% Friday, but remain below their 50-day line, as they continue to etch a flat base that shows a 149.52 buy point, according to IBD MarketSmith chart analysis. LNG shares moved up 1.1% Monday.

IBD Leaderboard stock Eli Lilly is holding just above a prior cup base’s 284 buy point and is trying to maintain its 50-day line. The stock’s RS line hit a new high last week. Eli Lilly stock was up 1% Monday morning.

Energy giant Exxon Mobil remains below a cup with handle’s 89.90 buy point despite a 3% gain on Friday. The stock found much-needed support at its key 50-day line. XOM shares inched higher Monday.

Defense contractor Northrop Grumman continues to etch a cup with handle with a 477.36 buy point. Shares are just below their 50-day line after Friday’s 0.5% rise. Northrop shares were up 0.4% early Monday.

Join IBD experts as they analyze leading stocks in the current stock market correction on IBD Live

Tesla Stock

Tesla stock lost around 1% Monday morning following Friday’s near-6% advance. Shares remain sharply below their 50- and 200-day lines amid their recent weakness.

The stock traded as high as 1,243.49 on Nov. 4 and is about 38% away from that all-time high.

Dow Jones Leaders: Apple, Microsoft

Among Dow Jones stocks, Apple shares rallied more than 3% Friday after falling to their lowest level since October 2021 on Thursday. The stock is sharply below its 200-day line and about 20% off its 52-week high. Apple stock fell 0.9% Monday.

Software leader Microsoft ended a two-day slide Friday, rising 2.3%. The stock closed about 25% off its 52-week high. MSFT shares moved down 0.85% Monday morning.

Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.


Top Growth Stocks To Buy And Watch

Learn How To Time The Market With IBD’s ETF Market Strategy

Find The Best Long-Term Investments With IBD Long-Term Leaders

MarketSmith: Research, Charts, Data And Coaching All In One Place

How To Research Growth Stocks: Why This IBD Tool Simplifies The Search For Top Stocks

#Futures #Drop #Tesla #Rival #Report #Earnings

Leave a Comment

Your email address will not be published.