Indexes Flat On Columbus Day; This Top-Performing Group Falls Hard – Investor's Business Daily

This post was originally published on this site

The stock market stuck to a similar script Monday, trading mostly unchanged and holding near highs in afternoon trading. Volume was light due to the Columbus Day holiday.

XAutoplay: On | OffThe Dow Jones industrial average, S&P 500 and Nasdaq composite showed losses of 0.1% or less. Small caps lagged slightly with the Russell 2000 down 0.3%.

Wal-Mart (WMT) did well in the Dow, up 2.5%, ahead of its analyst day Tuesday. Sentiment was also positive after the company said it’s starting a new service in November that will make it easier and faster to return merchandise bought from the store.

Wal-Mart has been hugging the 50-day moving average as it works on new flat base with an 82.09 entry.

It was a different story at Dow component General Electric (GE), which slumped nearly 4% after JPMorgan said recent management and board changes suggest that “core fundamental challenges are worse than consensus is currently discounting.”

Shares of Honeywell (HON), another one of the 30 components in the Dow Jones industrials, didn’t react much to news it’s planning on spinning off its non-core assets into at least two separate publicly-traded companies. Shares edged higher by 0.1%.

In the stock market today, sellers flocked around Tesla (TSLA) again. Shares were down 2% after the company said the unveiling of its new semi-truck would be delayed as the company focuses on fixing bottlenecks announced last week regarding its Model 3 production.

Elsewhere, Square (SQ)looked poised for its 10th straight gain after a recent breakout over a 28.07 buy point. Shares jumped nearly 2% on the heels of a 6.8% gain last week. It was featured in today’s The New America.

The IBD 50 turned in another solid showing, with about 10 names on the list up 2% or more.

China Lodging (HTHT) was a big winner, up 6%. The stock has been on a tear since clearing a flat base in July with an 88.18 buy point.

Meanwhile, IBD 50 component Nvidia (NVDA) added nearly 3% to 186.13. It’s slightly extended from a 174.66 buy point.

The chip firm’s weekly chart shows a three-weeks-tight alternate entry at 191.30, but it’s generally best to see the add-on pattern form after a meaningful gain from the breakout. Nvidia mustered a 9.5% gain from the breakout before shares reversed lower in higher volume during the week ended Sept. 22.

On the downside video game makers were weak after Cowen and Company downgraded shares of Activision Blizzard (ATVI) and Take-Two Interactive (TTWO) to market perform from outperform. Shares of Activision gave up 3.5% in below-average turnover, while Take-Two lost 4% in heavy trading.

RELATED:

How To Find Great Stocks: Why Does A Flat Base Chart Pattern Produce Big Returns?

Video Game Stocks ‘Heading Into Choppy Waters,’ Analyst Says

These 5 Dow Stocks Are Near Buy Zones As Earnings Season Begins

Two Heavyweight Financials, Dominant Pizza Chain Set To Report