Has the stock market rally overheated? Bitcoin rises on Tesla News | Investor’s Business Daily

Dow Jones futures, as well as S&P 500 futures and Nasdaq 100 futures were mixed late Monday as the stock market rally hit more record highs. Bitcoin rose over 18% after Tesla bought the $ 1.5 billion cryptocurrency. Tech titan Nvidia and Dow Jones leader Disney broke past the new buy point.


The stock market added to last week’s strong gains as the tech-heavy Nasdaq network rose 0.95%. The S&P 500 rose 0.7% while the Dow Jones Industrial Average rose 0.8%.

Under the Dow Jones leader, Apple ((AAPL) rebounded 0.1% while Microsoft ((MSFT) also rose by 0.1%. Apple stock remains below its last buy point, while Microsoft is now out of buy range. Nike ((FROM) is approaching a new buy point after hitting a key level again in recent sessions. Disney ((DIS) broke out in a sharp rise on Monday after a new buy point.

Tesla ((TSLA) rose 1.3% in Bitcoin news on Monday, approaching all-time highs again.

Among the top stocks in or near buy zones is the chip giant Nvidia ((NVDA) is above an early buy point in the buy range, while Dropbox ((DBX) tries to break out past a new buy point.

Apple, Microsoft and Tesla are IBD leaderboard stocks. Nvidia was that IBD share of the daywhile Dropbox was Monday to see IBD 50 shares choose. Meanwhile, Nike got introduced in this week Stocks near a buy zone.

Dow Jones Futures Today: Biden Stimulus Talks

After Monday’s close, the Dow Jones futures and the S&P 500 rose from fair value while the Nasdaq 100 futures fell less than 0.1%. Remember you are acting Dow Jones Futures and elsewhere this does not necessarily mean that the next regular trade will actually be traded Stock market Session.

Late Friday, the House voted to confirm the fast lane of President Biden’s $ 1.9 trillion stimulus package. The budget resolution allows the Biden stimulus plan to be passed by a mere majority instead of requiring 60 Senate votes to avoid a filibuster.

President Joe Bidens Twitter account Stressed the importance of acting quickly: “We have not a second to lose when it comes to bringing the American people the relief they urgently need. I call on Congress to act quickly and the American rescue plan to adopt.”

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Meanwhile, House spokeswoman Nancy Pelosi said the bill would be passed by the end of the month.

Among the exchange-traded funds is Innovator IBD 50 (FFTY) jumped 2.4% on Monday. The Nasdaq 100 affiliated Invesco QQQ Trust ETF (QQQ) traded by 0.7%. The SPDR S&P now has 500 ETF (SPY) recovered by 0.7%.

US Stock Market Today overview

indexsymbolpriceGain loss% Change
Dow Jones((0DJIA)31385.02+236.78+0.76
S&P 500((0S & P5)3915.58+28.75+0.74
Nasdaq((0NDQC )13987.64+131.34+0.95
Russell 2000 ((ETC.)227.27+5.62+2.54
IBD 50 ((FFTY)47.72+1.11+2.38
Last update: 16:36 ET 02/08/2021

Is the stock market rally overheating?

Looking back on the current upward trend, November was an important month for the stock market. IBDs The big picture The new uptrend became apparent after the market’s bullish follow-through day on November 4th. Meanwhile, the Dow Jones Industrial Average, Nasdaq and S&P 500 hit record highs in early February. But is the stock market rally overheating?

The big picture from Monday warned: “Investors who have bought on breakouts can enjoy the fruits of their trading but must wonder if the stock market is overwhelmed. The Nasdaq and S&P 500 are about to penetrate trendlines that hit index highs as far back as November. As the bigger picture has repeatedly noted, the Nasdaq’s gap to its 50-day moving average is dangerously high. “

It continued, “When the stock market crashes, one of the first signs will be erosion in the leading stocks. So far, these premium stocks are holding up well. The IBD 50 rose 1.4% and approaches new highs. “

Recent strength has allowed investors to revert to an offensive stance, understanding that there are still good reasons to be cautious. Look for stocks like Disney, Dropbox, and Nvidia that are breaking out above new buy points.

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Focus on stocks that are showing strong relative strength during the recent weakness. They could be among the market leaders if the indices can continue on their record paths.

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Bitcoin price

Bitcoin price rose more than 18% to an all-time high on Monday after Tesla bought $ 1.5 billion worth of bitcoin for “more flexibility to further diversify and maximize the returns on our cash,” according to an SEC filing . The electric car leader also said it would accept payments in bitcoin.

Bitcoin price hit as much as $ 47,500 before evening trading profits plummeted to around $ 46,500 Coindesk.

The Grayscale Bitcoin Trust (GBTC) rose over 20% as it continues to rebound from its 50-day moving average.

Dow Jones stocks: Disney, Nike

Dow Jones stock Disney has broken out and is in the buy area at 183.50 Buy point in one flat base, according to IBD MarketSmith Chart analysis. The purchase area of ​​5% increases to 192.68. Disney shares rose 4.9% on Monday.

Disney will report the winnings after last Thursday.

Elsewhere on the Dow 30, Nike a new flat base with a buy point of 148.05. The stock fell 1.2% on Monday.

Nike stocks have bullishly regained their 50-day moving average over the past few sessions.

Stocks in or near buy zones: Dropbox, Nvidia, ServiceNow

Monday to see IBD 50 shares pick, Dropbox, trying to break above 25.26 Buy point in one Cup bottom. Shares rose as much as 3.5% on Monday before moving down slightly. The share is just below the new buy point.

According to IBD Stock Checkup, Dropbox warehouse has a perfect 99 IBD composite rating. The composite rating – a simple method of identifying top growth stocks – is a mix of key fundamental and technical metrics that investors can use to assess a stock’s strengths.

Dropbox ranks 42nd on the IBD 50 List.

IBD ranking Stock Nvidia tracks a flat base with a buy point of 587.76. The stocks are just 2% off listing, while the 6.2% advance is on Monday. But stocks are also hovering above an early entry at 560.07. Investors could start with a small position at this alternative buy point.

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According to Leaderboard comment, “Nvidia has cleared an alternate entry from its January highs. The stock continues to operate on a flat or saucer basis. Nvidia was trimmed to a quarter position on Jan. 27, but is back in half with today’s move. “

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Tesla stick

IBD ranking Tesla shares approached record highs on Monday and rebounded after Company bitcoin news.

The IBD inventory for the day of January 8th The column signaled that Tesla has shown several signs of a peak in a strongly vertical run over the past few weeks. So far, however, the stock has shown tremendous resilience after hitting record highs in recent weeks.

On January 25, Tesla shares hit a record high of 900.40. Shares are roughly 84% above a buy point of 466 in a handle-mounted mug amid Monday’s action.

Dow Jones Leaders: Apple, Microsoft

Under the tips Dow Jones stocksApple was up 0.1% on Monday but remained below its buy point of 138.89 in a mug with a handle. The shares gave up listing on January 28th.

Meanwhile, Microsoft gained 0.1% on Monday. The software giant’s shares have broken past a buy point of 228.22 in the last few sessions and are outside the 5% buy zone, which climbs to 239.63.

Follow Scott Lehtonen on Twitter at @IBD_SLehtonen More information on growth stocks and the Dow Jones futures.


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