Dow Jones futures will open Sunday night along with S&P 500 futures and Nasdaq futures.
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Stock market gains had a solid week despite a pause in the index since Wednesday. Yields recovered on Friday, but a fall in US Treasury yields fueled the market’s rally for most of the week.
This confirms the upward trend of the market, and the major stocks are doing well. Investors must participate with discipline.
Magnificent Seven shares, apple (AAPL), microsoft (MSFTMore), the parent company of Google alphabet (Google), Nvidia (NVDA), Amazon.com (AMZN), Tesla (TSLA) and meta platform (meta) lived up to its title in 2023.
Nvidia stock, the clear leader of the AI market bull run, is also within reach. So are Apple stock, Amazon, and Google. Meta, Microsoft, and Tesla stocks are hitting key resistance, but a quick entry is possible.
NVDA stock and meta are on IBD Leaderboard. Microsoft stock is on his IBD long-term leader list. AMZN stocks are listed on SwingTrader. Nvidia stock is IBD50. Google and NVIDIA stocks are on the rise IBD Big Cap 20.
In the video embedded in this article, we looked back and analyzed the week that changed the game baker fuse (BKRMore), Samsara (IoT) and Tesla stock.
Airbnb and Blackstone Join S&P 500
Airbnb (ABNB) and black stone (BX) rose on news that it would join the S&P 500 before the Sept. 18 open, as part of the S&P index’s quarterly rebalancing. ABNB shares are expected to recapture the 50-day line, but BX shares may break.
dow jones futures today
Dow Jones futures open Sunday at 6:00 pm ET along with S&P 500 and Nasdaq 100 futures.
Dow futures will trade normally on Sunday and Monday, but the U.S. stock market will be closed on Monday for Labor Day. Other exchanges around the world will also open.
Note that overnight trading such as Dow Futures does not necessarily translate into actual trading in the next regular stock market.
IBD experts analyze major stocks and markets on IBD Live.
stock market rise
Stock market gains rose sharply at the beginning of the week but then held off as the major indexes regained their 50-day line.
The Dow Jones Industrial Average rose 1.4% in last week’s stock market trading. The S&P 500 index jumped 2.5%. The Nasdaq Composite rose 3.25%. Small-cap Russell 2000 jumped 3.6%.
The 10-year Treasury yield fell nearly 7 basis points in the week to 4.17%, with an 8 basis point gain on Friday. Still, the benchmark yield is down from a 15-year high of 4.36% set on Aug. 22.
U.S. crude futures rose 7.2% to $85.55 a barrel to end the week at the highest level of the year. Copper futures rose 1.3% for the week.
ETFs
Among Growth ETFs, Innovator IBD 50 ETF (FFTY) rebounded 5.2% last week, while the Innovator IBD Breakout Opportunity ETF (game) rose 4.7%. iShares Augmented Technology Software Sector ETF (IGV) rose 4.6%, making MSFT shares a huge holding. VanEck Vectors Semiconductor ETF (SMH) jumped 4.8%. Nvidia stock is the largest component of SMH.
SPDR S&P Metals & Mining ETF (XME) rose 5.5% last week. Global X US Infrastructure Development ETF (pave) rose 3.6%, a true all-time high. US Global Jets ETF (Jets) rose 1.6%. SPDR S&P Homebuilders ETF (XHB) jumped 6.2%. Energy Select SPDR ETF (XLE) rose 3.6% to a seven-month high. Healthcare Select Sector SPDR Fund (XLV) rose 0.1%, well off its weekly high. Industrial Select Sector SPDR Fund (XLI) rose 2.1%.
Financial Select SPDR ETF (XLF) rose 2.1%, while the SPDR S&P Regional Bank ETF (KRE) jumped 4.6%.
A stock that reflects a more speculative story, the ARK Innovation ETF (Arkuk) rose 6.5% last week, while the ARK Genomics ETF (Argu) jumped 6.7%. Tesla shares are the number one holding of all Ark Invest ETFs.
Top 5 Chinese stocks to watch right now
Magnificent Seven
Dubbed the “Magnificent Seven,” all of the mega-cap stocks performed well in 2023, driving the market’s rally. But there’s little doubt that Nvidia is his 2023 stock and company to lead his AI revolution.
NVDA shares rose 5.4% last week to 485.09, falling 1.7% on Friday after rebounding from the 21-day line to a new closing high on Thursday. Nvidia shares are still within the buy point range of 480.88, but close to extending the 50-day line.
Nvidia is the clear AI leader in the AI-driven market, so why not invest in the name?
AMZN shares rebounded from the 50-day/10-day line early in the week and then rebounded to the 21-day line on Thursday, also breaking the short trendline. This allows for early entry. The stock rose 3.65% to 138.12. Amazon stock is working on a short-term consolidation that could provide a unique platform. The recent moratorium could be seen as a response to a year-long decline in stock prices.
Apple shares rose 6.1% last week to 189.46, decisively regaining their 50-day moving average and suggesting early entry. The official buy point for AAPL shares is 198.23 on a cup basis. Apple’s so-so fundamentals are a concern. The Dow tech giant is expected to unveil the Apple iPhone 15 at its Sept. 12 event.
Google shares rose 4.45% last week to 135.66. The stock has cleared a short-term self-consolidation slightly above its previous baseline. This offered a new buy point of 133.74. The line of relative force has been trending upward for several weeks.
META shares rose 3.8% last week to 296.38, but have been hitting the 50-day line of resistance in recent days. Any decisive move above that level, just below 300, will allow early entry. Meta shares are working to develop their first new hub since March, but the official announcement is a week away.
MSFT stock fell sharply before and after the earnings announcement, reversing from its all-time high of 366.78 on July 18. Stock prices rebounded moderately, although trading volumes were low. Microsoft shares surged 1.8% to 328.66 for the week before hitting resistance at the now-loose 50-day line on Friday. A decisive move above that level could allow an early entry, but a sliding relative strength line is not a good sign. The official consolidated buy point for MSFT shares stands at 366.78, according to MarketSmith analysis.
Tesla shares surged past the 50-day line on Tuesday, but never definitively crossed that critical level. Since then, the stock has fallen 5.1% over the 21 days since Friday. Still, TSLA shares rose 2.7% on the week to 245.01. A break above Thursday’s high of 261.18 could be an early entry for the EV giants. The consolidation buying point for Tesla shares is 299.29.
Tesla unveiled an upgraded Model 3 in China on Friday, and the price tag came as a bit of a surprise. But the news may have been expected. Meanwhile, Tesla also slashed the prices of its Model S and Model X in the US, cutting the FSD price from $15,000 to $12,000.
The move undermines bullish views that Tesla’s price cuts are nearly complete and its profit margins will recover thanks to the new Model 3 and next-generation Cybertruck.
market rise analysis
This week has been a big bullish week for the stock market rally. On Tuesday’s follow-through day, just three trading days after the ugly downside reversal on Aug. 24, the major indices were again above their 50-day moving averages.
Growth stocks such as Nvidia are leading the way, but the initiative is growing.
The major indexes were technically mixed on Friday but showed some resilience after US Treasury yields rose sharply.The Nasdaq is notably stocks of Tesla, Nvidia, and broadcom (AVGO).
Market width has improved, with winners outnumbering losers on Friday.
On Friday, the Russell 2000 index rose above the 50-day line and bank stocks rallied in a moderately inverted yield curve. However, the Invesco S&P 500 Equal Weight ETF (RSP) is struggling on that critical level.
Meanwhile, the Dow Jones is testing 21-day and 50-day lines, but has so far held on. Still, it’s a reminder that it won’t take long for the S&P 500 and Nasdaq to break below the 50-day line.
Growth stocks still appear to be doing well, and energy stocks rallied later in the week as oil prices rose again. Meanwhile, the housing sector, industrials, metals and insurance brokers have all shown strength or are poised.
The Nasdaq and broader stock market rally could continue, but a pause shouldn’t come as a surprise. This might allow some stocks to build the right side of the base or forge the handle.
Earnings season is winding down and even the economic calendar will brighten next week. Therefore, headline risk may be contained.
Timing the Market with IBD’s ETF Market Strategy
what to do now
The stock market rally is doing everything to help investors. The FTD on Tuesday matched with the index recovering to key levels, a clear signal to strengthen exposure.
With the market generally trending upwards for the rest of the week, there are more buying opportunities each day. But this is not a flood and reinforces the idea that investors should gradually increase their exposure day by day.
There are many stocks set from different sectors. If you are at the beginning of a new market rally, or a new phase of the 2023 uptrend, now is your chance.
So spend this long weekend running your screens and updating your watchlist.
Read “The Big Picture” daily to stay on top of market direction and key stocks and sectors.
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