Dow Jones futures rose a little late on Tuesday, along with the S&P 500 and Nasdaq futures as the House approached the vote to impeach Trump. Major indexes held a quiet session on Tuesday, but small caps, financial names and growth names did well, with IPOs rising and several new stock breaks, including Uber and GM stocks.
Tesla (TSLA) recovered on Tuesday after snapping an 11-day winning streak on Monday. But Tesla shares are still showing signs of nearing a climax. Stocks of fuel cells Turn on the power (PLOW), Ballard Power (BLDP) and FuelCell energy (FCEL), which continued to rise overnight, are also running vertically.
General Motors (GM), Ford (F) and Uber technology (UBER) all cleared purchase points. Also a retailer of household goods and furniture Williams-Sonoma (WSM).
Meanwhile, many recent IPOs have been big winners, including From a hyphen (DASH), Airbnb (ABNB) and Corsair Gaming (CRSR), all flashing various purchase signals. FuboTV (FUBO) and China EV start-ups Xpeng (XPEV) and Li Auto (LI) bounced powerfully off their 50-day lines.
Technical titans continue to fight. Apple (AAPL) with the edge lower, trying to keep the support levels in its handle. Microsoft (MSFT) and a parent of Google Alphabet (GOOGL) closed below key levels. Facebook (FB) and Netflix (NFLX) have broken below their 50-day lines and are moving towards their 200-day averages. Amazon.com (AMZN) did not fall, but continues to lag behind.
But these troubles from the megacap do not allow the stock market to overheat, as many leading stocks are heating up.
Shares of Tesla, Microsoft and Apple are in the IBD rankings. Shares of GM and Uber are owned by SwingTrader. Microsoft shares are owned by IBD Long-Term Leaders. WSM stocks are at IBD 50.
Military leaders condemn “sedition”; Trump denies the mistakes
In an extremely unusual measure, the Joint Chief of Staff published a letter Tuesday, blasting “riots and uprisings” on January 6th. Although they did not name President Donald Trump, who continues to claim it is widespread election fraud, commanders acknowledged Joe Biden’s presidential victory and made it clear that the military would follow the constitutional transfer of power.
Earlier Tuesday, Trump denied any wrongdoing in his January 6 speech, calling for action against supporters, many of whom soon stormed the Capitol building, leaving five dead and forcing lawmakers to flee. Trump, meanwhile, said new impeachment efforts “are causing a great deal of anger.”
Vote for domestic impeachment on Wednesday
The chamber may hold a vote to impeach Trump on Wednesday. MPs adopted a measure Tuesday night, asking Vice President Mike Pence and the cabinet to refer to the 25th Amendment to remove Trump immediately from office. Pence told Parliament Speaker Nancy Pelosi before the vote that she would not do so. But Tuesday’s resolution could indicate how many Republicans support the vote to impeach Trump.
If Trump is impeachment, there will be a Senate trial, but probably not for weeks after Trump leaves office on January 20. If convicted, Trump will be barred from seeking a federal office again.
Dow Jones Futures Today
Dow Jones futures rose 0.2% to fair value. S&P 500 futures advanced 0.2% and Nasdaq 100 futures rose 0.3%.
Remember that overnight actions on Dow futures and elsewhere do not necessarily become real trading in the next regular session of the stock market.
Join IBD experts as they analyze active stocks in the IBD Live stock rally.
There are 92 million cases of coronavirus worldwide. Covid-19 deaths reached 1.96 million.
Coronavirus cases in the United States reached 23.36 million, with more than 389,000 deaths. The death of American Covid reached 4,200 on Tuesday, a new daily high.
The Trump administration has recommended that vaccinations be opened for people aged 65 or over or with a serious risk factor, while including community centers and no longer waiting until sufficient quantities are provided for a second dose. Anything designed to speed up vaccinations that started rocky but is gaining momentum.
The US government will purchase an additional 1.25 million doses of COVID-19 antibody cocktail Regeneron Pharmaceuticals (REGN) for up to $ 2.6 billion. REGN shares rose late.
Stock market rally on Tuesday
US Stock Market Today Overview
|Index||Symbol||Price||Profit / loss||% Change|
|S&P 500||(0S and P5)||3801,19||+1.58||+0.04|
Last updated: 16:28 ET 1/12/2021
The stock market rally had a constructive session as technology giants kept major indexes under control, while many growth names did well.
The Dow Jones industrial average rose 0.2% on Wednesday. The S&P 500 rose higher. The Nasdaq composite rose 1.3%. Russell 2000 jumped 1.8%.
The distribution of profitability between the two-year and 10-year treasury funds is the widest since March. This is good news for banks and other lenders who earn by borrowing short and lending long.
The grim action in the main indexes after the retreat on Monday is constructive, allowing the 50-day moving average to catch up to some extent, after the Nasdaq seemed extended at the end of last week. The Nasdaq closed 6.3% over the 50-day session for the second consecutive session after rising 8% on Friday.
Tech Titans Lag
Technical titans are a key reason for major indexes to stay cool. Shares of Apple held well, sinking 0.1% to 128.80, embracing its 21-day exponential moving average. Shares of AAPL have 138.89 points for purchase on a cup with a handle. Apple plans to make an announcement on CBS’s morning show on Wednesday, but apparently not for a new product.
Shares of Microsoft, Dow Jones, S&P 500 and Nasdaq, like Apple, fell 1.2%, sinking below their 50-day line. Shares of Google lost 1.1%, also undercutting their 50-day price. Shares of Facebook sank 2.2% and Netflix 1%, both moving to their 200-day lines. Shares of Amazon rose 0.2%, but are still below their 50-day line.
On Monday, shares of Tesla fell 7.8%, weighing the S&P 500 and Nasdaq. But shares recovered 4.7% on Tuesday. TSLA shares are far from the 466 buying point and still seem to be in full swing.
Plug Power’s stock rose 22% after a new alliance with French carmaker Renault. This followed SK Group’s investment in Plug Power as part of an alliance to bring hydrogen to Asian markets. FuelCell’s stock jumped 21% on Tuesday and Ballard Power 19%. PLUG’s stock has grown by 95% since 2021, with FCEL and BLDP also jumping sharply.
Overnight, PLUG, FCEL and BLDP rose steadily in intense trading.
Among the best ETFs, the Innovator IBD 50 ETF (FFTY) jumped 2.2%, while the ETF (BOUT) of the Innovator IBD Breakout Opportunities advanced 1%, both at fresh highs. The IShares Expanded Tech-Software Sector ETF (IGV) grew 0.1%, with stocks of MSFT and other software giants weighing the IGV. VanEck Vectors Semiconductor ETF (SMH) rose 0.5%.
GM Stock, Ford Stock Break Out
Shares of GM jumped 6.2% to 47.82, exploding above a buying point of 46.81 and reaching a record high. According to MarketSmith’s analysis, the car giant has emerged from a shallow foundation, but can also be seen as a handle in the multi-year consolidation. GM shares recovered upward from the 21-day exponential moving average on the daily chart and its 10-week weekly chart, offering early entry.
GM CEO Mary Barra, in a key CES report, introduced a new business called BrightDrop, which manufactures electric vans and commercial vehicles. The BrightDrop electric vans will debut at the end of 2021, at the same time as the electric Ford Transit. Ford dominates the delivery van market, but backed by Amazon Rivian, Workhorse (WKHS) and others are jumping into the electric vehicle market.
Shares of Ford jumped 5.2% to 78, clearing 9.60 points on a flat base. Like GM shares, Ford recently recovered from its 21-day and 10-week lines, offering early entry.
Uber Stock Racing Past Purchase Points
Shares of Uber rose 7.2% to 58.54, moving decisively after entering 56.12 from a brief consolidation. It is still in the 5% buying zone, which reaches 58.93. The line of relative strength is almost at its peak in June 2019, shortly after the IPO of Uber shares. The RS line tracks stock performance against the S&P 500. The travel welcome is still very weak, but Uber Eats’ supply business is doing well due to the coronavirus pandemic. I lift (LYFT), a company with a pure riding game, jumped, also moved over a brief consolidation and bounced off its 10-week line.
Shares of Williams-Sonoma jumped 6.4% to 118.25, exploding above 114.75 buying points. WSM shares have been recovering from their 50-day and 10-week line in recent days, offering early entry. RH (RH), a competitive home furnishing chain, rose 4.2% to clear short-term consolidation.
Read the Big Picture every day to stay in line with market direction and leading stocks and sectors.
Please follow Ed Carson on Twitter at @IBD_ECarson for stock market updates and more.
YOU MAY ALSO LIKE:
Why this IBD tool simplifies the search for the best stocks
Catch the next big win with MarketSmith
IBD Stock Of The Day: The new IPO is close to a point of purchase
The best growth stocks to buy and watch
IBD Digital: Unlock first-class IBD lists, tools and analysis today