US OPEN: Wall Street opens lower despite strong earnings

• US stocks under pressure ahead of Big Tech earnings
• IBM (IBM.US) posted highest revenue growth since 2018

US indices launched today’s session lower as investors seem cautious ahead of bit tech corporate results which will provide an update on the private sector economic recovery. Netflix will be the first company from the so-called FANG group to report quarterly figures today after market close. At the same time, most of the other companies that released their quarterly results today, including Johnson & Johnson, IBM, Procter & Gamble, have positively surprised investors. Meanwhile, the dollar hovered around 7-week lows and Treasury yields edged higher for a third straight session but remained below their 14-month highs reached in March which may be a sign that reflation trade is likely to continue.

US30 fell sharply today, however buyers managed to halt declines at the lower limit of the ascending channel which coincides with support at 33728 pts and 50 SMA (green line). If buyers manage to regain full control, then another upward impulse towards 34145 pts may be launched. On the other hand, should break below to the aforementioned support occurs, then downward move may accelerate towards 33509 pts level. Source: xStation5 

IBM (IBM.US) stock rose more than 3% in premarket after the company posted better than expected quarterly figures. IBM earned $1.77 per share, while analysts expected earnings of $1.63 per share. Revenue also came in above market estimates. Its quarterly sales growth was its best in more than two years, helped by a strong performance from its cloud-computing unit. 

IBM (IBM.US) stock launched today’s session higher and broke above the upper limit of the triangle formation. The nearest resistance lies at $137.15. Should break higher occur, then upward move may be extended to the next resistance at $142.14. On the other hand, if sellers will manage to regain control, then support at $132.29 may be at risk. Source: xStation5

Procter & Gamble (PG.US) posted quarterly earnings of $1.26 per share which came in above market projections of $1.19 per share. Revenue also beat estimates amid high demand for it's cleaning products. The consumer products company also announced it would increase prices by mid-to-high-single-digit percentages for a variety of products in September.

Johnson & Johnson (JNJ.US) stock fell slightly in premarket despite positive quarterly figures. Company earned $2.59 per share, compared to a consensus estimate of $2.34 a share. Revenue also came in above market estimates, thanks to higher pharmaceutical sales and rebound in medical devices.

Apple (AAPL.US) stock fell slightly in premarket ahead of a virtual launch event later on today, at which the iPhone-maker is expected to unveil a new podcast subscription service and may show off tiny tags meant to locate lost items.

Tesla's (TSLA.US) CEO Elon Musk announced that company checks indicated that the “Autopilot” feature was not engaged during a fatal crash in Texas over the weekend that killed two people. Police are still investigating, but say no one was behind the wheel when the car crashed into a tree. 

Lockheed Martin (LMT.US) fell 0.7% in premarket after the defense contractor posted mixed first-quarter results. Company earned $6.56 on revenue of $16.26 billion while analysts expected earnings of $6.34 per share on revenue of $16.4 billion as its top program saw a decline in sales, while the defense giant raised its full-year outlook.