The stock market uptrend continued on its merry way Thursday, one day after the Nasdaq composite and S&P 500 marked a distribution day.
X The Dow Jones industrial average outperformed in afternoon trading with a 0.9% gain. The blue-chip index offered up plenty of strong price performers, including United Technologies (UTX). The industrial conglomerate jumped back above its 50-day moving average, rising 3% in heavy volume. Last year, the company announced plans to acquire avionics firm Rockwell Collins (COL) for $23 billion. Many view the deal as a prelude to a breakup of United Technologies due to disparate businesses, including Carrier air conditioners and Otis elevators.
Oil and gas stocks outperformed as April U.S. crude oil futures jumped 2.2% to $63.03 a barrel. Strength was fueled by a U.S. government report that showed an unexpected drop in supplies. IBD’s Drilling, Machinery/Equipment and Exploration/Production groups outperformed, with gains ranging from 2.5% to 4.5%.
The S&P 500 added 0.5% and the Nasdaq composite picked up 0.2%. Volume on the NYSE and Nasdaq was tracking slightly higher than Wednesday’s levels in the stock market today. A 0.2% decline for the Nasdaq really didn’t have the feel of distribution, or institutional selling, but the index gave back a lot of ground after rising about 1% early.
Heavy-volume gainers Thursday included Green Dot (GDOT). Shares jumped nearly 10% to 66.07. The stock gapped out of a consolidation with a conventional entry at 65.98 after reporting another strong quarter late Wednesday. Green Dot’s business is reloadable prepaid debit cards.
Track Top Stocks And Market Trends With Free IBD Newsletters
Small-cap enterprise software name Five9 (FIVN) also broke out from a shallow, cup-shaped base with a 27.91 entry. Shares popped 12.5% to 30.36 on news adjusted profit soared 600% from the year-ago quarter. Sales rose 25% to $55.4 million.
Inside the IBD 50, retailers Floor & Decor (FND) and Five Below (FIVE) showed gains of 2% and 1%, respectively. Floor & Decor is battling to reclaim its 50-day line ahead of its March 1 earnings report. Five Below is back above the 50-day line as it works on a potential base.
Snap (SNAP), meanwhile, swooned 7% to 17.27 as it retests a prior buy point of 16.98. Shares gapped up powerfully Feb. 7, helped by an earnings beat and strong sales growth, but a large number of users are unhappy with a recent redesign of the app. A couple of recent analyst downgrades to sell hasn’t helped matters.
This Article Was Originally From *This Site*