Dow Jones futures were relatively unchanged in overnight trade, along with S&P 500 futures and Nasdaq 100 futures. The 10-year Treasury yield saw a significant surge to new highs on Monday, and Bitcoin, Nvidia, and Tesla stock were all in focus after notable moves. This week’s economic highlight is Friday’s September jobs report, which is expected to show moderate strength with 150,000 new jobs and a decrease in the jobless rate to 3.7%. Average hourly wages are also expected to grow 0.3%.
On Monday, the Dow Jones Industrial Average dropped 0.2%, while the S&P 500 saw a slight increase. The tech-heavy Nasdaq composite gained 0.7%. Bitcoin experienced a nearly 4% jump, reaching its highest level in over a month. Tesla stock rose 0.55%, while Nvidia jumped 2.95%. Several other stocks, including Apple, Microsoft, Arista Networks, Duolingo, DraftKings, and Zscaler, are also worth watching amidst the ongoing stock market correction.
Despite the little change in Dow Jones futures, there is still much to keep an eye on. The 10-year U.S. Treasury yield hit new highs on Monday, and West Texas intermediate futures declined over 2%. It’s important for investors to read IBD’s The Big Picture column during this time, as the major stock indexes continue their rally attempt. Building a strong watchlist of stocks that show potential for leadership when the next uptrend occurs is crucial.
Investors can utilize the relative strength line to determine a stock’s performance compared to the S&P 500. Monitoring stock charts where the line is trending upward indicates that the stock is outperforming the S&P. The IBD Stock Screener provides a list of top-rated stocks with lines at new highs, and MarketSmith has useful lists such as “Breaking Out Today” and “Near Pivot” for monitoring stocks nearing buy points.
Dow Jones stocks Caterpillar and Chevron are currently forming bases with buy points. Arista is rebounding from its 50-day line, DraftKings is building a cup with handle, Duolingo is attempting to break out past its latest buy point, and Zscaler is rebounding from its 50-day line.
In relation to Tesla stock, it rebounded for a third consecutive session, but shares are still significantly below their 50-day line. Tesla delivered 435,059 vehicles in Q3, falling from Q2’s record of 466,140. However, this decline was largely expected due to factory upgrades and efforts to reduce inventory.
Overall, it’s important for investors to stay updated on the latest market trends and make informed decisions for their portfolios. Monitoring key stocks and economic reports can help identify potential opportunities in the market.