Indexes Rise Again, But Wait For More. TransDigm, Neurocrine, Chipotle In Focus | Stock Market Today

Indexes Rise Again, But Wait For More. TransDigm, Neurocrine, Chipotle In Focus | Stock Market Today

[Music]
[Music]
good afternoon everyone and welcome to
stock market today it’s Ali Corman Ed
Carson with the breakdown of the action
in today’s session Tuesday April 23rd
where we saw that strong bounce back
continue today but we still want to see
more progress Ed a couple of stocks
we’re going to be checking in on what do
you have for us yeah I want to take a
look at trans diim neurocore biosciences
and chipotle okay we’re going to take a
look at those and the early reactions
after the Bell to some big earnings
reports and of course we have more big
reports coming out all week long uh but
we’ll check in on a couple after the
close but first let’s take a look at the
major indexes the NASDAQ today up 1.6%
by sessions close the S&P 500 today up
1.2% extending its gains for the week
the Dow we have up 7/10 of a percent and
the Russell 2000 tracking small cap
stocks up about 1.8% or so headed into
the close so a nice rebound there so it
seems like after getting into oversold
territory last weekend we’re getting a
strong rebound this week but like we
said at the beginning there’s still more
progress to be made before we can feel
confident in the changing Market tide
yeah I mean we’ve had after all these
big losses a bounce of some sort was you
know not that much of a surprise it was
going to come at some point you could
have argued it could have come for a
several days earlier but so it’s nice to
see but now you want to see after it’s
okay can you carry on you know can you
really build on that momentum I mean
this is great to see uh when you uh you
know later this week you might look for
a follow-through day
on one of more of the major indexes to
confirm this new rally attempt uh all
the earnings that are coming in tonight
and Wednesday and Thursday and some
economic data on Friday a lot of things
going on that to reasons to be nervous
it’s like everything might look fine and
then but if meta Google and Microsoft
have terrible guidance say well all that
nice action ahead of that time won’t
matter so uh nice to see this uh and if
you are going to be doing anything and
there are certain things that you could
try you if you’re going to be aggressive
you have to be at least as aggressive
getting out if things don’t work uh but
I think in general just waiting for
things to set up waiting to first you
know waiting for this Market to really
show strength is is generally the way to
go here exactly and then in addition to
the follow through day we’re also
keeping a close eye on the 21 Day line
which has now uh gotten below the 50-day
line that’s what turned the power Trend
off but also getting above 16,000 and
that 50-day line so th those are the
areas we’d like to see above us uh to
get back above so we we do have some
hurdles uh from a technical perspective
but also like you said just the news
flow the major headlines that uh
potentially could be Market moving
throughout the week uh so you know the
most optimistic scenario uh would be
this further progress and getting above
those levels but that doesn’t mean it’s
going to happen uh we could chop around
here we could roll back over we just
don’t know yet so we’ll wait for more
positive signals uh before dipping our
toes in the water and making sure we’re
not uh diving in head first just yet or
or Cannonball jumping into the into the
waters as it were all right and then
also taking a look at the S&P 500 in
terms of round numbers we’re watching we
saw an undercut of that 5,000 level on
Friday got back above it yesterday
continuing uh to extend the bounce to
the upside we’re about 71 of a% below
the 21 Day 1% below the 50-day so just
to put things into context there if we
do see the bounce continue also
potentially add you know some sort of
trend line I know you like when sort of
this the stars align with uh moving
averages and trend lines so we’ll have
to see uh what happens with that because
we could we could get rejected we could
get rejected I mean look in a montage
fast scenario we get up and we have a
follow through day and we break through
the 50-day line come up to some of these
trend lines or even break above it uh
leading stocks are doing the same at the
same time they could be rejected it
could be weeks it could be months before
we have another uptrend so you want to
be ready the key isn’t so much to see
like can I run ahead of it like you know
beat the starting gun it’s to see like
are you ready and that may be ready you
know Thursday Friday it might be ready
you know June or July so you just want
to be uh Stay Stay prepared yeah let’s
take look at RSP this is the equated S&P
500 ETF because it’s showing some good
progress as well up about 9/10 of a
percent today so underperforming the S&P
500 but in terms of the ground that it’s
making up it seems like we’re we’re
seeing some positive moves on that front
versus the S&P
500 yeah so I mean it’s that is showing
a little more strength because obviously
look looks seem like the AI and some of
the tech names really came under
pressure uh so that’ll be one thing to
be interested it’s like if and when we
do have a rally I mean right now we do
have a lot of things from medical you
know Financial you know there’s some
industrial Aerospace energy so a lot of
names that aren’t in Tech that are doing
well so it’s not necessarily a guarantee
that the same leaders will will will
take on now if we quickly Ram back up
that probably means a lot of them will
but especially if it’s a longer longer
pause uh you can’t just guarant you know
assume that those that the same names
will lead and the same names will lag so
you you want to keep an open mind on on
what is going to be the leadership yes
okay next on our list let’s take a look
at the 10year yield because we’ve been
keeping a close watch on this seeing
some sort of pause now uh over the last
couple of sessions here Ed after a big
move up in recent weeks yeah and I think
uh you know that just just a pause it
just it was so relentless that rise but
clearly when the yield which was up a
little bit when that came down on some
economic data soon after the open that
seemed to really help turbocharge
today’s move again it’s still very close
to 2024 highs we’re going to get big
economic data Thursday Friday uh but
that that’s definitely a key factor for
the market all right and you mentioned
some of these non- Tech areas
participating so let’s take a look XLF
up about 710 of a percent today already
getting back above its 50-day and 21 one
day lines in yesterday’s session xli the
Industrials today getting above the
50-day and the 21 day then we have xme
this is the metals and Mining ETF coming
down but off lows today finding support
around the 50-day line and a prior
resistance area around 59 and then we
also want to take a look at chips and
software so here’s a look at chips
here’s SMH outpacing the broad market
today at up 2.4% but a lot of damage
last week to try to make up ground so
maybe uh we’re going to start seeing
some bases develop here but this uh too
like the major indexes needs just a
little bit more time at least yeah I
mean definitely you just see that
difference you know the growth stocks
are definitely not leading leading
anymore yeah and igv software uh this
was getting hit pretty hard early and
that relative strength started lagging
quite a bit ago but we’re starting to
see a bounce back up 1.8% today bringing
the weekly gain so far to nearly 3%
after coming close to the 40 we line
okay let’s get to those individual
stocks here’s tdg this is trans dime
clearing a flat tight area Ed or getting
close to doing so up 3.4% today yeah
sort of bouncing on continuing to bounce
off the 50-day 10we line it’s a new
closing high it’s essentially over that
so it certainly this one could be
actionable if you want to wait for you
know a little bit more to get a new high
that would be fine uh this is a this is
a strong performer relative strength
line at a new high uh and a steady RS
line at steady RS L this was a huge
long-term leader winner it’s only
because of the the you know covid crisis
that completely derailed everything in
the business uh one of the things that
this does is that most of its business
is in the aftermarket parts supplies and
that’s what general electric does a lot
of what they do I mean they may not be
doing the same Parts but a lot of it is
like aftermarket PL and so Boeing’s
woses uh have been good for GE they’re
probably good for Trans dime and so GE
which had a huge day uh on its earnings
uh as its first earning report as a pure
play Aerospace play well that helped a
number of other Aerospace plays and
trans definitely has a similar type of
business model in that front so uh this
is uh this is acting very well earnings
are coming up but uh this is this is uh
you know look at that you know nice some
trending up on some on earnings growth
sales growth a lot to like about this
name If This Were a tech company nobody
would be saying it’s not a Growth
Company you know it’s definitely a
Growth Company yeah I agree with you
there Ed okay let’s take a look at nbx
moving on some news today closing up
4.8% after being up more early so it did
give back some gains from its intraday
High high is closed at the bottom of the
the range but the true range perhaps a
little uh Midway or even uh above the
midpoint there in terms of where it
closed in Monday’s session um closing
today right around the 140 level here up
on positive phase two trial data on a
depression drug so we could see a new
flat base forming here soon Ed yeah some
some some analysts were comparing this
to ketamine but without maybe some of
the uh added effects that ketamine tends
to get so it may not be as that ketamine
tends to be pretty tightly controlled uh
yeah this the the pulling back wasn’t
great and but that’s actually could form
an opportunity sort of like a a buy area
if it can get above that Yeah I broke
that trend line it got above above an
old Trend old buy point it will have a
new base probably after this week so
maybe if you can just sort of form here
set up a handle type thing even though
it’s going to be a flat base and then
see what earnings are like in a week
it’s just but I also wanted to bring
this up in part because the pulling back
is that’s one reason to watch out we’re
going to in obviously this is not
earnings but you’re going to see a lot
of earnings gaps a lot of things that
come up or down it’s like just just calm
down for a few minutes often it’s just
waiting a few minutes is is often very
useful uh you know to see if that
actually uh holds or not and uh some
something something to keep in mind when
you’re planning because yeah it looked
great for a little while uh but after
five minutes it started trending down
and didn’t hold down it was you know
this is this is fine 6% up for the week
or so
uh and earnings are coming up next week
exactly yeah we need to follow through
day but also having that phased approach
to buying and waiting just a little bit
like you said Ed can be helpful okay
let’s take a look at CMG this is
Chipotle what a strong steady mover this
year Ed and we’ve got earnings coming up
Wednesday night so if we can get a
favorable reaction maybe a move above
3,000 yeah I think that’s pretty pretty
clear there it’s almost a flat base you
can basically treat it that if you we
got over there I think that would be
actionable it came down sort of to the
10we line just trading so tightly it’s
going to have a 50 for one split uh
coming up and there was a three weeks
tight so that gives you reason more to
even more to treat it like a a flat
based type of situation it’s going to
split 50 for one after a shareholder
vote almost certainly will pass that’ll
happen in June but yeah just such a
steady performer this is also important
because a lot of restaurant stocks are
acting well so this is like like uh you
know just gives an early indication for
a lot of those other names how that’ll
do but yeah uh another another stock
another sector uh that’s just been
showing strong performance and held up
very well uh while the tech names were
were were getting taken out to the
Woodshed yeah absolutely speaking of I
mean Tesla has been a lager for quite a
while Ed as we know and have talked
about but we are getting a favorable
initial reaction after the bell and
extended trading to the earnings report
shares up about
6% uh I think the revenue number may
have been good Ed do you have any other
early details yeah I mean it was uh the
the revenue I don’t know may it depends
on like Revenue beat on some measures
missed on others the earnings missed
there was a lot of things people didn’t
know what was going to be thrown into
that uh the biggest thing though is that
in the earnings deck the release they
said that they are committed to this
affordable ev even though the last few
weeks there’s been a lot of indications
that they’re basically going to be
shelving that now we’ll have to see to
what extent do they really mean that you
know I said do they really so that’ll be
key obviously this needs a lot of repair
work even if everything goes well and
and an affordable EV is not necessarily
A slamed DK in any case but so that
that’s earning call is at 5:30 Eastern
uh at least it’s scheduled to start uh
last last time things really sold off on
that maybe this time they’ll rally if uh
they like what Elon has to say a lot of
questions heading into this report
obviously been down heading into it yeah
and I I just saw Revenue Tesla Revenue
flash across the screen it’s the biggest
Revenue slide since 2012 uh so maybe um
investors clinging on to that headline
that you were saying at about the
affordable EV but we’ll have to see what
happens on the call and I would also say
that uh even if this does have a 5% move
in tomorrow’s session I mean it this
chart needs a lot of repair work you
know you cover up the Tesla ticker and
you just look at the price action and
there’s a lot of repair work needed here
so we uh we’ll have to see we’ll have to
see all right anything else that we
should check in on after hours ad I
think Visa would be something to look at
and that one sometimes moves around in
earnings too like it’ll do one thing and
then you know shift around so um that’s
going to move up this was a solid
performer uh you know I can bounce back
up toward the uh 50-day Line This is a
dow and S&P giant as well so interesting
to see how how this one does uh this is
a big member of XLF that XLF ETF that we
were looking at so yeah this is this was
a solid perform so far most of the
earnings seem to be doing pretty well
after the close which is you know that’s
the big big thing a lot of earnings
tomorrow Thursday of course in next week
as well yes okay and I know you and Lexi
are keeping everyone up to date on
what’s ahead and what we should prepare
for every Friday with earnings cheat
sheet so Traders should definitely add
that to their routines and it’s not too
late to watch the one for this week
because a a lot of the reports that you
covered are the ones coming later this
weekend right that’s right we talked
about Microsoft and Google and I’m sure
we’ll be talking about Amazon and apple
and I’ve got a drug giant uh that I’m
thinking that uh that we’re probably
going to be taking a look at that’s been
uh been pretty been doing pretty well
lately sounds good Ed all right well you
can check out earnings cheat sheet
Fridays at investors.com viideos or on
demand at that same place or our YouTube
channel so definitely make sure to check
that out all right everyone that is it
for today and we we’ll see you tomorrow
morning on IBD live investors.com
IBD live for all the details on that and
then we’ll see you right back here
tomorrow after the close

The indexes rose solidly for a second straight session, but don’t get excited yet by the nascent rally attempt, especially with earnings season kicking into high gear. TransDigm is on the cusp of a buy signal amid strength in aerospace names. Neurocrine Biosciences jumped toward possible entries on positive drug news. Chipotle is setting up nicely with earnings on tap.

Stock Market Today: April 23, 2024
Hosts: Alissa Coram & Ed Carson

Get more IBD by subscribing to our channel: https://bit.ly/3OqppAs

Visit our website: https://www.investors.com
Like us on Facebook: https://www.facebook.com/investorsbusinessdaily
Follow us on Twitter: https://twitter.com/IBDinvestors
Follow us on Instagram: https://www.instagram.com/investorsbusinessdaily/
Follow us on StockTwits: https://stocktwits.com/InvestorsBusinessdaily
Follow us on LinkedIn: https://www.linkedin.com/company/investors-business-daily
Follow us on TikTok: https://www.tiktok.com/@ibdinvestors

Investor’s Business Daily has been helping people invest smarter results by providing exclusive stock lists, investing data, stock market research, education and the latest financial and business news to help investors make more money in the stock market.

#StockMarketToday #InvestorsBusinessDaily #IBD