U.S. markets opened higher and held positive territory throughout Monday’s action following a weekend without any major headlines representing an escalation in the trade tariffs the U.S. is waging with China and Europe. Economic news was light as the relative market calm has a chance to continue with companies in their quiet period ahead of the 2Q earnings season.
The big day is this Friday when a number of Financials stocks will be reporting with earnings really picking up steam in the next few weeks. Volume was light and remains a slight concern although volatility continues to creep lower and is signaling continued market momentum.
The Dow jumped 1.3% after trading to a high of 24,796 while easily closing back above its 50-day moving average. Continued closes above resistance at 25,000 would be a bullish signal.
The S&P 500 soared 0.9% and is approaching mid-June highs following the run to 2,784. There is a cluster of resistance at 2,785-2,790 with a close above the latter likely leading to a strong push past 2,800.
The Nasdaq was up for the 3rd-straight session after rising 0.9% and making an late day push to 7,757. The index is less than 1% away from fresh all-time highs north of 7,800.
The Russell 2000 was higher by 0.6% after extending its win streak to five-straight sessions while reaching a peak of 1,704. The small-caps held the 1,700 level with the all-time high just north of 1,708.
Capital One (COF) upgraded to Outperform from Perform at Oppenheimer
Dunkin' Brands (DNKN) upgraded to Neutral from Underperform at Longbow
FireEye (FEYE) upgraded to Overweight from Neutral at Piper Jaffray
Procter & Gamble (PG) downgraded to Hold from Buy at Jefferies
Six Flags (SIX) downgraded to Market Perform from Outperform at Wells Fargo
Walgreens Boots Alliance (WBA) downgraded to Neutral from Buy at Citi
Tuesday's earnings announcements (EST):
Before the open: PepsiCo (PEP), Simply Good Foods (SMPL)
After the close: AAR Corp. (AIR), Exfo (EXFO), Saratoga Investments (SAR), Simulations Plus (SLP), Voxx International (VOXX), WD-40 (WDFC)
Tuesday's economic reports (EST):
Redbook - 8:55am
Jolts - 10:00am
Gold closed at $1259.60 an ounce, up $3.80
Silver settled at $16.14 an ounce, up $0.07
Copper finished at $2.85 a pound, up $0.03
Crude Oil is at $73.00 barrel, unchanged
Bitcoin Investment Trust (GBTC) ended at $10.30 up $0.07
Make it a great day!
Bulls Keep Momentum
Todd Mitchell is the CEO & Founder of Trading Concepts, Inc. He's been trading since 1994 and has mentored over 12,000 traders from Wall Street to Main Street. He's an expert at developing strategies for creating more consistent daily, weekly and monthly income.
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