Dow Jones Futures: What to do as stock market correction continues; Elon Musk buys Twitter

Dow Jones futures were slightly higher late after Monday’s stock market rally. Twitter shares rose when Tesla’s CEO Elon Musk entered into an agreement to buy the company in a deal worth $ 44 billion.


Packaging Corporation of America (PKG) was an important profit development after the end. PKG shares rose more than 1.5% in expanded trading.

On Monday, the Dow Jones Industrial Average turned 0.7% from heavy losses to rally, while the S&P 500 rose 0.6%. The technology-heavy Nasdaq composite rose 1.3%. Among exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) rose 1.3% and the SPDR S&P 500 ETF (SPY) rose 0.6% on Monday.

Overview of the US stock market today

Index Symbol Price Gain / loss % Change
Dow jones (0DJIA) 34052.03 +240.63 +0.71
S&P 500 (0S & P5) 4296.43 +24.65 +0.58
Nasdaq (0NDQC) 13004.85 +165.56 +1.29
Russell 2000 (IWM) 193.89 +1.21 +0.63
IBD 50 (FFTY) 33.94 -0.29 -0.85
Last update: 16:42 ET 25.04.2022

Oil stocks were among today’s weakest results, as US oil prices fell more than 3%. West Texas Intermediate oil traded below $ 99 a barrel. Schlumberger (SLB) fell more than 7%. Halliburton (HAL) fell 6.3%. And Baker Hughes (BKR) fell 4.5%.

In the midst of a new stock market correction, the Dow Jones financial leader American Express (AXP) – together with Expedia (EXPE), IBD Leaderboard stock LPL Financial (LPLA), Palo Alto Networks (PANW) and World Wrestling Entertainment (WWE) – is among Monday’s best stocks to see.

Among the Dow Jones executives, apple (AAPL) increased 0.7% and Microsoft (MSFT) traded up 2.4% in today’s stock market.

Microsoft and Tesla are IBD Leaderboard shares. Expedia and Palo Alto Networks were featured in this week’s Stocks near a buy zone column.

Elon Musk buys Twitter

Twitter (TWTR) jumped 5.7% after the company agreed to be acquired by Tesla CEO Elon Musk in a deal worth around $ 44 billion. Musk will take the company privately upon completion. Tesla (TSLA) stock fell 0.7% on Monday.

“Freedom of expression is the cornerstone of a functioning democracy, and Twitter is the digital city square where issues that are crucial to humanity’s future are discussed,” Musk said in written remarks.

“I also want to make Twitter better than ever by improving the product with new features, making the algorithms open source to increase trust, defeat the spambots and authenticate all people,” he continued. “Twitter has enormous potential – I look forward to working with the company and the user community to unlock it.”

Dow Jones Futures Today: Treasury Yields

After Monday’s close, Dow Jones futures, S&P 500 futures and Nasdaq 100 futures were all slightly higher relative to fair value. Keep in mind that overnight trading in Dow futures and elsewhere does not necessarily translate into actual trading in the next regular trading session.

The 10-year government interest rate ticked down to 2.82% on Monday after closing at 2.9% on Friday. Last week, the 10-year government interest rate reached its highest level since December 2018.

Stock correction continues: What to do now

On Monday, the major stock indices showed positive action, as the major stock indices turned from early losses to ending with solid gains. However, the stock market outlook was downgraded on Friday to a “correction market” after stronger losses.

Monday is day 1 of a new rally attempt. In the midst of the new stock market correction, investors should make a profit and raise money. Keeping a watch list of stocks that are doing well in a declining market is also a good way to be prepared for the next upturn in the stock market.

You can find many of the next trend leaders while the market is still correcting, which can be done by using the relative strength line. The RS line measures a share price development vs. S&P 500. If the stock surpasses the wider market, the RS line angles upwards. If a stock performs worse than the broad market, the line will point lower.

Monday’s The Big Picture column commented: “Market optimists will appreciate that the S&P 500 jumped around the 4200 level, roughly where the index fell in January, February and March. Nasdaq’s low Monday also occurred near the lows in February and March. It indicated that the stock market could have found a bottom. But it is too early to say. The market must first start a rally attempt. “

If you are new to IBD, you should consider taking a look at the stock trading system and the basics of CAN SLIM. Recognizing chart patterns is a key to the investment guidelines. IBD offers a wide range of growth charts, such as Leaderboard and SwingTrader.

Investors can also create watch lists, find companies approaching a point of purchase, or develop custom monitors at IBD MarketSmith.

Five Dow Jones shares to see now

Dow Jones shares to buy and see: American Express

Dow Jones financial stock American Express tracks a cup of handles with a buy point of 194.45. The stock rose 2% on Monday, ending about 5% off the last listing.

Keep an eye on the relative strength of the stock. In the middle of the latest upswing, the RS line is starting to move closer to its old heights, which means that it is once again surpassing the broad market.

Three top growth stocks to see in timerent stock market correction

Shares to look at: LPL, Expedia, Palo Alto, WWE

The IBD Leaderboard stock LPL Financial remains above 191.08 buy points in a cup with handles, but double-digit gains faded under the last slide. On April 21, the stock climbed as much as 15.5% above the entry, meaning the stock is close to triggering the round-trip rule, according to IBD MarketSmith’s chart analysis.

Thursday’s IBD Stock Of The Day, Expedia, builds a cup with handles with a buy point of 204.08. Stocks are trying to regain their 50-day line, but have some issues at the central resistance level. The EXPE stock shows a 90 of a perfect 99 IBD Composite Rating, according to the IBD Stock Checkup.

Top cybersecurity stock Palo Alto Networks finds much-needed support on its 50-day line after triggering a return sell signal from a buy point of 572.77. Shares rose almost 5% on Monday.

World Wresting Entertainment also found support around its 50-day moving average on Monday, reducing heavy losses to just 0.3%. The shares are just below a buy point of 60.94 in a cup with handles.

Join IBD experts as they analyze leading stocks in the current stock market correction on IBD Live

Tesla shares

Tesla shares fell 0.7% on Monday, increasing Friday’s loss of 0.4%. Shares in the EV giant ended Monday about 13% away from a cup-with-handle buy point of 1,152.97.

The stock traded as high as 1,243.49 on November 4 and is about 20% away from the record high.

Dow Jones executives: Apple, Microsoft

Among Dow Jones shares, Apple shares have triggered the 7% -8% loss reduction rule from a buy point of 176.75 in a double-bottom base in recent weeks. Apple stock found support on its long-term 200-day line, rising 0.7% on Monday.

Software leader Microsoft increased 2.4% on Monday, but is still below its 50- and 200-day lines. The stock is about 20% of its 52-week high.

Apple and Microsoft report revenue this week.

Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.


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