Summary:
-
US stock markets to open lower after sizable decline
-
26700 possible support for US30
-
Nike surges toward ATH; Nvidia a buy says Goldman
Tuesday’s US session saw some sizable selling in US stock indices with the benchmarks slumping due to a combination of poor consumer data and the perceived rising risk of impeachment against president Trump (read more here). These events came not long after the shocking European survey data on Monday morning and it’s shaping up to be a bit of a testing week for stock market bulls. That said, the selling is far from panic stations for now and the coming sessions will determine whether this is just a pullback after a fairly strong rally or more worryingly for longs a double top with the peak made back in the summer.
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile app
The Dow Jones index (US30 on xStation) has pulled back in recent trade with the MACD turning lower on a D1 chart. However, the zone from 26400-26700 remains key and unless the market can make a decisive break below it then the downside is limited. Source: xStation
Our latest technical overview of the S&P500 (US500 on xStation) can be viewed here.
One component of the Dow that is in the headlines today is Nike after the stock surged towards a record high in premarket trade. The athletic apparel firm posted pleasing Q1 results with earnings of $1.4B ($0.86/ share) against $1.1B ($0.67/share) a year ago. Revenue rose by 7% to $10.7B. The stock is expected to start somewhere in the region of 5% higher which would mean a new record peak.
Nike shares are called to start strongly and above the $90 mark - meaning a new all-time high for the stock. Source: xStation
Elsewhere, Goldman Sachs raised its price target on chipmaker Nvidia to $192 from $179. The stock closed Tuesday at $172.53 per share, up nearly 30% this year. Goldman likes Nvidia the best compared to some of its semiconductor peers. While the firm has a buy rating on Nvidia, it has a neutral rating on Advanced Micro Devices and a sell rating on Intel.
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
