Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Stocks

NASDAQ Breaks Out Again; 2 Stocks To Consider NOW

by March 31, 2023
March 31, 2023
NASDAQ Breaks Out Again;  2 Stocks To Consider NOW

U.S. equities are wrapping up the first quarter in grand style. The QQQ, which tracks the NASDAQ 100, is zeroing in on a 20% gain for the quarter, as I write this. We saw a huge rally in January 2023 and strong Januarys usually suggest a strong year ahead. Based on our Q1 performance, it’d be hard to argue at this point. There’s more technical work ahead, which is to be expected after the completion of a cyclical bear market. If you follow the “20% rule”, then the QQQ is now in a bull market, having moved up more than 20% from its low of 253.26 on October 13, 2022. That confirms the end of the 2022 bear market for the NASDAQ.

So, for now, let’s assume the worst is behind us and we’ll be looking at higher prices ahead. What stocks might we consider buying and why? Here are two that I like:

Amazon.com (AMZN)

If the stock market does well this year, it’ll likely be due to the Fed hitting the brakes on interest rate hikes, promptly a lower 10-year treasury yield ($TNX) in the process. In that type of environment, I believe growth stocks will be where most of the leadership resides. Amazon.com (AMZN) certainly fits the bill. Technically, AMZN just broke out of a bullish inverse head & shoulders continuation pattern and broadline retailers ($DJUSRB) are finally showing relative strength:

There are a lot of positives here. Nothing has been confirmed yet, in terms of relative strength, but the improvement in 2023 is rather obvious. The February absolute and relative highs are key target levels. Moves above the February high would be extremely bullish.

ServiceNow (NOW)

NOW is breaking out of a similar bullish pattern, clearing key overhead price resistance. But does it sustain the move through today’s close? That’ll be what I’m watching, because if it does, I could see a nice run back to that February high. To the downside, NOW held up in the support zone between price and gap support and is “NOW” poised to run:

Average volume on NOW is 1.58 million over the past 50 trading days. Today’s volume is over 800,000 in the first 90 minutes, so we’re seeing confirming volume. It’s fairly simple – either today is going to be a meaningful breakout or it’s going to be a false breakout. It just depends on where we close. NOW was leading the software group ($DJUSSW) higher in January. It’s lagged badly during its recent consolidation, but the NOW relative strength line has begun turning higher again (blue circle) and a breakout could trigger much further relative strength ahead.

I’ll be hosting our latest market outlook on Saturday, April 15th at 10:00am ET. If you’re unsure of the bull vs. bear market debate and where we currently stand, mark your calendar for our event. It’ll be very educational and open to the public. We will be sending out invites to our entire FREE EB Digest community, along with our EarningsBeats.com members. Simply CLICK HERE and sign up with your name and email to save your spot!

Happy trading!

Tom

0
FacebookTwitterGoogle +Pinterest
previous post
Utilising training & employment schemes: How to plug skills gaps within your business to boost growth
next post
Mega-Cap Leadership

You may also like

Silver Cross Index is Topping on Broad Market...

January 5, 2024

This Sector Is Poised At A Crucial Juncture

November 18, 2022

Three Market Sentiment Indicators Confirm Bearish Phase

August 9, 2024

Calling All StockCharts Members: Make Sure To Check...

December 15, 2022

The Labor Market and the Stock Market

February 1, 2023

Large-Cap Growth Threatens the S&P Rally

June 25, 2024

Do You Believe In Equal-Weighted ETFs? Really?

September 14, 2022

Trade War Mayhem? Here’s How to Cut Through...

April 11, 2025

DP Trading Room: Finding Pocks of Strength in...

August 7, 2023

Will the S&P 500 Push Above 4600 Before...

December 9, 2023

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Call with China’s Xi, and Trump-Musk exchange fueled barbs during 20th week in office

      June 7, 2025
    • Trump’s conservative allies warn Congress faces critical ‘test’ with $9.4B spending cut proposal

      June 7, 2025
    • Tech ETFs are Leading Since April, but Another Group is Leading YTD

      June 7, 2025
    • TIMELINE: Inside the evolving relationship between Trump and Musk from first term to this week’s fallout

      June 7, 2025
    • Deadly drone wars are already here and the US is horribly unprepared

      June 7, 2025
    • Week Ahead: NIFTY’s Behavior Against This Level Crucial As The Index Looks At Potential Resumption Of An Upmove

      June 7, 2025

    Categories

    • Business (8,152)
    • Investing (2,019)
    • Politics (15,564)
    • Stocks (3,136)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved