Dow Jones futures fell late Thursday, along with S&P 500 futures, as a California curfew and other new coronavirus restrictions worried investors as Covid cases hit a new daily record in U.S. Nasdaq futures and themselves the number of games left at home hardly changed.
The stock market rally bounced back on Thursday, with growth stocks leading the way.
On Thursday, some leading stocks offered early buy points. Software manufacturer CrowdStrike (CRWD), Octa (OKTA) and Twilio (TWLO) Broken trend lines. So probably too modern micro devices (AMD). Novocure (NVCR) approached trend lines. All five stocks bounce back from their 50-day and 10-week lines.
Workday inventory returned in expanded retail. Intuit shares fell within a buy zone after closing. Williams-Sonoma stock rose, suggesting a possible breakout from a brief consolidation.
Dow Jones Futures today
Dow Jones futures were down 0.7% from fair value. S&P 500 futures lost 0.7%. The Nasdaq 100 futures were almost back on balance.
Coronavirus restrictions and social distancing, while helpful in containing the spread of Covid-19, could also cool an already slowing economic recovery. That’s probably why Dow Jones futures are struggling Boeing (BA), JPMorgan Chase (JPM) and Caterpillar (CAT) everyone is losing ground. Tech futures are less affected with games like at home Zoom video (ZM) rise.
The Treasury Department said late Thursday that it had asked the Federal Reserve to extend some coronavirus aid programs by 90 days but end others, including the Main Street Lending program. Some of these programs have been used sparingly, but the Fed said it would prefer to keep all programs.
Mnuchin or the next finance minister could revive the expired programs.
Coronavirus cases reached 57.23 million worldwide. Covid-19 deaths topped 1.36 million.
Coronavirus cases in the US have hit 12.05 million people, with deaths of over 258,000.
New Covid cases in the U.S. topped 192,000 on Thursday, a new daily record. The death toll surpassed 2,000 on Thursday, the highest since early May. Hospital stays are at record levels and are increasing rapidly.
California Curfew Coronavirus Restrictions
California Governor Gavin Newsom ordered a curfew from 10:00 p.m. to 5:00 a.m. for most of the state from Saturday. The new curfew for corona viruses affects counties in the “purple” level of Covid cases, which are almost exclusively cases.
New York City public schools have closed due to increasing coronavirus cases in the city.
Several cities and states have placed new restrictions on restaurants, gyms, and more.
The Centers for Disease Control and Prevention urged Americans not to visit family for Thanksgiving celebrations, as experts warn that it could lead to a sharp increase in outbreaks.
Covid vaccines soon
Both the Pfizer / BioNTech and Modern (MRNA) Coronavirus vaccines using similar mRNA technology are around 95% effective, a high level.
AstraZeneca (AZN) said Thursday that his coronavirus vaccine was safe and triggered an immune system response in a phase 2 study. End-stage trials are ongoing.
The scientific director for Johnson & Johnson (JNJ) said Thursday that it expects the Dow giant to have enough data to allow its coronavirus vaccine to apply for FDA approval in January or February.
So there’s a good chance four coronavirus vaccines will be approved by the end of February, making mass vaccination easier.
Stock market rally
The stock market rally rebounded from Wednesday’s sell-off, led by growth stocks.
Chuck Schumer, Chairman of the Senate Minority, DN.Y., said Senate Majority Leader Mitch McConnell, R-Ky., Stands ready to resume business stimulus talks. However, it is unclear whether renewed negotiations will lead to an actual agreement.
The Dow Jones Industrial Average rose 0.15% on Thursday Stock exchange trading. The S&P 500 index rose 0.4%. The Nasdaq network rose 0.9%. All are close to record highs.
Under the best ETFs, the innovator IBD 50 ETF (FFTY) popped 1.8%. Likewise the iShares Expanded Tech-Software Sector ETF (IGV). Workday Stock and Intuit are IGV stocks. The VanEck Vectors Semiconductor ETF (SMH) rose by 1.3%. AMD stocks are an important component of SMH.
Stocks with early entries
One way to Finding early buy points is the use of trend lines. Stocks that are above the trendlines remove some technical resistance and may have headroom. Such moves are even more powerful when combined with a rebound from the 10 week line. This applies to Twilio stocks, CrowdStrike, Okta, AMD and Novocure.
CrowdStrike rose 4.4% to 143.76, clearly breaking a downward sloping trend line. Another resistance point is at 144.29, offering an entry at 144.39. CRWD stock traded above this level for much of Thursday’s session.
The Okta share rose 3.85% to 232.45 and thus also broke a downtrend. Intraday, stocks nearly hit an early entry of 237.72.
AMD stock rose 3.6% to 85.54, breaking a more aggressive trend line. Another early entry would be 87.15. AMD has an officer Double floor Buy point of 88.82.
The Novocure share rose 2.9% to 125.26. Stocks approached but never crossed a trend line. Another early entry would be 132.08. NVCR stock was on Thursday IBD share of the day.
Twilio jumped 6% to 295.65 and closed exactly around the trend line.
Working day revenue
Wages rose by 62% to 86 cents per share and were thus well above expectations. Revenue rose 18% to $ 1.11 billion, and also exceeded it, although growth slowed for the sixth straight quarter.
Also the software manufacturer for personnel and financial management Increase in subscription income policies. However, executives were also cautious about future margins.
Workday stock fell 3% overnight. Initially, after hours, stocks rose above the early buy points at 231.53 and possibly 236.94. The official one Buy point is 248.85. On Thursday the WDAY share rose 3.2% to 230.80, moving above a downtrend.
Tesla Stock Flies, EV Rivals Outpace
The Tesla share reached a record high of 508.61 during the day, closing 2.6% to 499.27. According to Consumer Reports, the market leader for electric cars was in the penultimate place in its survey on the reliability of cars in the morning, with the Model S and Model Y no longer recommended. During the week, TSLA stock rose 22% and passed a buy point on its S&P 500 node.
Tesla fell 1% overnight, possibly due to concerns about coronavirus restrictions, particularly in the major California market.
Meanwhile, Nio shares fell 7.5% to a record high. Xpeng stock rose 14% and Li Auto climbed 3.5%. All three Chinese EV startups have risen sharply in the past few weeks.
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