Follow us on facebook


Stocks Fade, Close Mainly Lower; Microsoft Tumbles But Chevron Rallies | Stock News & Stock Market Analysis

Stock indexes closed mainly lower Monday, ending near session lows as enthusiasm over the tax-cut bill wore off in afternoon trading.

X The Dow Jones industrial average added  0.2% and climbed to a record high earlier in the day.

The most significant move among the 30 Dow components belonged to Chevron (CVX), which broke out of a flat base, clearing a 120.99 buy point in above-average volume. But Microsoft (MSFT) got swept up in the technology-sector selling, and shares slid 4% to nearly meet the 50-day moving average.

Software, semiconductor, fiber optic and other technology industry groups were in the bottom of Monday’s market performance. The broad weakness in tech stocks forced the Nasdaq composite to a loss of 1.1%. The composite, which has had a stellar 2017 with a gain of more than 25%, seems to be coming under profit-taking. The S&P 500 fell 0.3% and also reached a new high before gains evaporated.

Retail and transportation carried the market’s upside. Department stores, discount chains, restaurants, apparel shops, air freight and railroads climbed more than 1.5%. Some groups that are affected by provisions in the tax legislation made big moves.

While techs were under siege, breakouts occurred in a number of industries. Financials were strong, where two investment management houses topped buy points.

Waddell & Reed (WDR) broke out of an irregular base with a 21.30 buy point but closed just below the buy point. LPL Financial (LPLA) crossed above the 54.02 buy point of a flat base in heavy volume.

Industrial stocks made a good showing too.

Steel Dynamics (STLD) broke out of a long saucer pattern, clearing the 39.85 buy point. It closed below the entry, but volume was double its usual pace. South Korea-based Posco (PKX) broke out of a flat base, rising above a 77.86 buy point in active trading.

Trinity Industries (TRN),  a maker of railcars, barges and other transportation equipment, cleared the 36.07 buy point of a cup-shaped base.

Quanta Services (PWR) cleared a flat base with a 38.45 buy point in heavy trading.

Consumer stocks continue to assert leadership, and it’s not just retailers.

Fashion brand Ralph Lauren (RL) rose past the 97.30 buy point of a cup with handle.  But the handle has a wedging look, which makes it weaker from a chart perspective.

RELATED:

Bank Stocks Rise As Senators Add These Last-Minute Perks To Tax Bill

Solar Industry Stocks Slammed On Senate Tax Bill Provisions

 

Source link

Related posts:

No comments.

Leave a Reply