Dow Jones futures as well as S&P 500 futures and Nasdaq 100 futures were little changed before the stock market opened on Tuesday. After the market closed on Monday, the leader of artificial intelligence Palantir Technologies (PLTR) slumped on first-quarter earnings results while Apple’s “Let Loose” event is scheduled to take place on Tuesday.
X
Late Monday, Palantir reported quarterly earnings and higher-than-expected sales. But shares fell more than 10% in extended trading before paring their losses to about 4%. Shares of the AI market leader rose 8.1% on Monday, back to their 50-day line.
Other important earnings drivers are: Axon Enterprise (AXON), Lucid Motors (LCID), Microchip (MCHP) and Vertex Pharmaceuticals (VRTX).
Axon shares fell nearly 1%, while Lucid shares slipped nearly 7%. Microchip shares fell 4%. And Vertex shares rose nearly 1% in extended trading.
Check out IBD’s new exposure levels so you can keep up with the market trend
Stock market today
On Monday, the Dow Jones Industrial Average rose 0.5% and the S&P 500 rose 1%. The tech-heavy Nasdaq Composite gained 1.2%.
Chipotle Mexican Grill (CMG), NXP Semiconductor (NXPI), Texas Roadhouse (TXRH) and Tradeweb Markets (TW) – plus Dow Jones components American Express (AXP) and Merck (MRK) – are one of the best companies to keep an eye on on the stock market today.
And Dow Jones tech icons Apple (AAPL) and Microsoft (MSFT) ended mixed on the stock market today: Apple lost 0.9% and Microsoft rose 1.7%.
Chipotle and Merck are featured in this “Stocks Near a Buy Zone” column.
IBD’s latest newsletter, MarketDiem, delivers actionable stock, options and crypto ideas straight to your inbox
Dow Jones today: oil prices, government bond yields
Before Tuesday’s opening bell, Dow Jones futures, S&P 500 futures and tech-heavy Nasdaq 100 futures were little changed relative to fair value. Keep in mind that overnight action in Dow Jones futures and elsewhere does not necessarily result in actual trading in the next regular trading session.
On Monday, the 10-year U.S. Treasury yield fell to 4.48%. And oil prices rose as West Texas intermediate futures settled at about $78.60 a barrel.
Get real-time buy and sell alerts on stock market leaders with IBD Leaderboard
Stock market today: what to do now
Given recent stock market gains, now is an important time to read IBD’s “The Big Picture” column. Following Monday’s action, be sure to check out today’s edition of The Big Picture for an updated exposure.
On Monday’s IBD Live show, the IBD Live team discussed last week’s strong performance as the Nasdaq reclaimed the 50-day line. Once again, the Nasdaq’s sharp rise was due to slightly lower volume, but the panel explained why IBD increased market exposure.
An essential resource for daily breakouts is IBD MarketSurge’s Breaking Out Today list. It shows MarketSurge Growth 250 stocks breaking out past new buy points. Above all, Duolingo (DUOL) broke out above the 245.59 cup base buy point. Meanwhile, MarketSurge’s Near Pivot list shows stocks nearing buy points in the bases.
For more stock ideas, check out IBD stock lists like IBD 50, Big Cap 20, and Stocks Near a Buy Zone. These features identify bullish patterns and buy points and can be checked daily.
Dow Jones: American Express, Merck
According to MarketSurge charts, American Express is rebounding from support around its 50-day moving average with heavy volume. A recovery pushed the software leader into new buy territory. And the shares also climbed above an entry of 231.69 as part of a short consolidation.
Meanwhile, pharmaceutical giant Merck is building a flat base with an entry of 133.10.
The 4 top growth stocks to keep an eye on Stock market action
Outside the Dow Jones Index, Chipotle rose another 1.4% on Monday, closing further above a 3,023.98 buy point in a short consolidation, according to IBD MarketSurge.
NXP Semiconductors closed in a buy range above a double buy point at 251.96 on Monday.
Texas Roadhouse broke out of buy range above the 157.12 flat base buy point and rallied 2.5% on Monday.
Tradeweb is breaking out above the 108.04 flat base buy point. This puts the stock in a new buy zone.
Learn how to navigate the market with IBD’s ETF market strategy
Stocks to keep an eye on
These are four stocks in or near the buy zone of today’s stock market.
| Company Name | symbol | Right buying point | Type of buy point |
|---|---|---|---|
| American Express | (AXP) | 231.69 | Consolidation |
| Chipotle | (CMG) | 3,023.98 | Consolidation |
| Texas Roadhouse | (TXRH) | 157.12 | Flat base |
| Tradeweb Markets | (TW) | 108.04 | Flat base |
Source: IBD data as of May 5, 2024
Join IBD experts as they analyze leading stocks in today’s market action on IBD Live
The seven great stocks: Nvidia, Tesla
Among the “Magnificent Seven” stocks are Nvidia (NVDA) and Tesla (TSLA) rose 3.8% and 2%, respectively, on Monday.
Nvidia stock continued to climb above the 50-day line on Monday and continued to build a base that has a 974 buy point. Meanwhile, an early buying trigger is emerging at 888.19, the April 30 high. The AI giant is an IBD Leaderboard stock.
Tesla shares extended their winning streak to three sessions on Monday, finding support at the 50-day line after last week’s rise.
Dow Jones leaders: Apple, Microsoft
Among the Dow Jones stocks in the “Magnificent Seven,” Apple shares fell 0.9% on Monday, giving back some of Friday’s gains. Shares are back above their 200-day line and forming the right side of a new base.
Apple’s “Let Loose” event begins Tuesday at 10 a.m. ET. According to Forbes, two new iPad Pro models are expected, the 11-inch and 12.9-inch models. There is now said to be a new design that will change the look of the tablets for the first time in more than three years.
Microsoft shares rose 1.7% on Monday, right at their 50-day line. The software giant is building a new flat base with a 430.82 buy point and the 50-day line will be a key hurdle.
Be sure to follow Scott Lehtonen on X/Twitter at @IBD_SLehtonen Learn more about growth stocks and the Dow Jones Industrial Average.
YOU MAY ALSO LIKE:
Top Growth Stocks to Buy and Watch
Learn how to navigate the market with IBD’s ETF market strategy
Find the best long-term investments with IBD Long-Term Leaders
Check out IBD’s new exposure levels so you can keep up with the market trend
Identify buy points and sell signals with MarketSurge pattern recognition