Home » INDEXDJX: .DJI – Dow Jones falls (-0.75%) as Snap drops 39%
After issuing a profit warning, the Dow Jones falls as Snap drops 39%.
The Dow Jones Industrial Average moved down 0.75%, and the S & P 500 lost 1.4%.
A massive 14% drop has been observed in the Dow Jones Industrial Average since 2022.
NEW YORK, May 24 (FintechZoom): The Dow Jones Industrial Average (INDEXDJX: .DJI) fell Tuesday morning. At the same time, tech stocks plunged as Snap (SNAP) fell 39% after announcing its profit and revenue were expected to be below the low end of its estimates from a year earlier, according to FintechZoom INDEXDJX: .DJI May 24 Morning.
In the meantime, Zoom Video (ZM) posted better-than-expected first-quarter results late Tuesday, helping its stock rise about 5%.
The Dow Jones’s price has fallen. Both technical analysis and sentiment support this conclusion. This report summarizes five of the market’s most critical concerns. Let’s examine how the news can support a bullish advance and to what degree that may be the case.
The 30 parts of the index all went up in percentage terms. JPMorgan Chase & Co. had the biggest gain, at 6.19 percent, because the bank raised its expectations for net interest income in 2022. Compared to expectations in January, which were based on about 50 billion dollars, it exceeded more than 56 billion dollars, influencing all financial sector sectors. Among the listed stocks on this index with gains, Visa Inc., Cl A by 4.29%.
President Joe Biden’s comments back up what Wall Street has been saying for a while: he is thinking about getting rid of Trump’s tariffs on China. On Monday, 12 nations in the Indo-Pacific that account for about 40% of the world’s GDP announced a new economic agreement. It aims to counteract China’s influence in the region. Although the market seemed to ignore his statement about Taiwan being defended if there was an attack on its mainland, the White House later played down his comments.
The Dow Jones Industrial Average dropped 0.75% during Tuesday’s morning trade, while the S&P 500 lost 1.4%. Meanwhile, the tech-heavy Nasdaq plummeted 2.7%. Apple shares rose 4% Monday among Dow Jones stocks. Shares remain far below their long-term, 200-day line. AAPL’s stock was down 1.15 percent on Tuesday. Invesco QQQ Trust (QQQ), which tracks the Nasdaq 100 index, fell 1.9%. SPY, which tracks the S & P 500 index, fell 1.1%.
According to IBD MarketSmith’s chart analysis, Dow Jones leader and energy giant Chevron continues to build a flat trading base with a 174.86 buy point. As a result, shares climbed 2.3% from their 50-day line. Shares of CVX declined a bit Tuesday.
Per IBD Stock Checkup, CVX stock has an outstanding 99 IBD Composite Rating. With the IBD Composite Rating, investors can quickly judge how strong fundamental and technical metrics are.
As shares of Merck, a Dow Jones and IBD SwingTrader stock, gained 0.3% Monday, they are near the top of a buy range over 89.58, the top of a cup-with-handle. At 94.06, it would be considered a buy. MARK shares rose a bit in early trading Tuesday. The stock’s relative strength line hit more highs on Friday, which showed that the stock market did better than expected.
Dow Jones technical analysis:
This rise is an attempt by the index to make up for some of its losses. In particular, when the relative strength indicators start to show a positive crossover, it tries to drain some of its exact oversold levels. After relying on its penultimate session for support, the index found some support after the bearish corrective price channel was confirmed. The attached chart for a period (daily) shows how this channel limits previous short-term trading. But it keeps trading below the 50-day simple moving average, putting pressure on it to go down.
So, we expect the index to go back down during the next trading session, especially when it stabilizes below the resistance level of 32,000, with a target of 30,547.50.