|Day's Range||1.1700 - 1.2400|
Shares of Aurora Cannabis (NYSE:ACB) haven't been looking so hot. In fact, on July 12 alone, shares tumbled more than 5%. But the fall did more than give investors a sour ending to the week. It sent shares through a key level of support and all but put the nail in the short-term coffin of pain.Source: Shutterstock InvestorPlace - Stock Market News, Stock Advice & Trading TipsOK, maybe that's a little extreme. But the point is that ACB stock is not looking healthy on the charts. While that doesn't mean Aurora Cannabis can't bounce back and repair some of that technical damage, it makes it a lot harder to do so. From an investing standpoint, I like to blend technicals and fundamentals. When the technicals are not strong -- like with ACB stock -- we need to lean more heavily on the fundamentals. When the fundamentals are not the stock's strong point, we need the technicals to display strength. Unfortunately for Aurora Cannabis stock investors, while its end market looks to be a long-term opportunity, its fundamentals are not that strong in the short term. Without technicals to lean on, this stock could have more downside coming. Trading ACB Stock Click to EnlargeWith shares of ACB dumping on Friday, the stock lost a key level of support between $7 and $7.25. For the stock to even come close to repairing some of this damage, it needs to reclaim this former level of support. * 7 Dependable Dividend Stocks to Buy The risk here is two-fold, with the first being that Aurora Cannabis stock continues to head lower. The second risk is that it rebounds back up to the $7 to $7.25 range, which then acts as resistance. That would be bad news for the bulls. On Monday, ACB stock was rallying back toward that prior range support, so we should know relatively soon whether it can reclaim this area or if it will be found as resistance. At least we don't have to wait long to find out. Should ACB stock reclaim that key support area, it may run up toward $7.50 to $8. But here's the problem for traders looking to take ACB on the long side. Even if it reclaims prior support, it has to push through this next area too, before looking healthy again. And what's between $7.50 and $8? Just 2019 downtrend resistance (blue line), the 20-day, 50-day and 200-day moving averages. I'm not saying ACB stock is the worst equity to buy or that it's doomed. But until it repairs its technical damage and starts to put together more constructive price action for the bulls, it's a hard one to go long. Particularly as the PowerShares QQQ ETF (NASDAQ:QQQ) and SPDR S&P 500 ETF (NYSEARCA:SPY) are hitting new all-time highs. The breakdown in ACB stock was actually preceded by Canopy Growth (NYSE:CGC). CGC stock broke down ahead of ACB and led the way lower for a number of cannabis stocks. What's Up With Cannabis Stocks?So what's leading this charge lower? Because it's not just CGC and ACB stock. Cronos Group (NASDAQ:CRON), New Age Beverages (NASDAQ:NBEV), Aphria (NYSE:APHA) and others are all taking a very similar bearish setup. On the charts, this setup is known as the bearish descending triangle. Simply put, it's when trend is pushing shares lower against a static level of support. When support gives way, the bearish setup starts to play out, forcing share prices lower. The question is, why is the entire industry all setting up in the same manner? * 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond Things really started to unravel when Canopy Growth -- which many consider the "blue chip" stock of the bunch -- ousted its CEO. Canopy was volatile but stable that day, but has been under pressure all month since. It seems to have turned investors into sellers throughout the group, as the cannabis industry awaits a new catalyst. That's even as growth has been incredible, with many of these names turning in earnings reports of triple-digit revenue growth gains.While Aurora Cannabis missed analysts' estimates, it still churned out revenue growth of 289% last quarter. That said, most of these names -- ACB included -- do not generate profits and do not have the strongest financials. Thus, we need the technicals to behave better to justify a long position. For now, I'd wait before establishing a position in ACB stock. Long-term investors may opt to accumulate the stock, but I would rather wait until the stock looks healthier. One alternative would be a position in Constellation Brands (NYSE:STZ), which owns 40% of CGC, but has strong fundamentals and a good-looking chart to boot. Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell held no position in any aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip * 7 Services Stocks to Buy for the Rest of 2019 * 6 Stocks to Buy and 1 to Sell Based on Insider Trading The post Does Aurora Cannabis Stock Chart Point to a Mid-Summer Plunge? appeared first on InvestorPlace.
The PowerShares QQQ ETF (NASDAQ:QQQ) came within a dime, but couldn't grind out new highs on Tuesday as we saw a decline in the Nasdaq today. However, that didn't stop everything from rallying, as Roku (NASDAQ:ROKU) stock burst as much as 8%, hitting new all-time highs in the process.Source: Shutterstock The stock clocked in over $113 at one point and it wouldn't be surprising to see the stock continue higher into earnings. After two huge post-earnings rallies, the stock is clearly on investors' radar. The stock was a clear leader on Tuesday and investors will look to see if they can keep squeezing shares higher amid this breakout.Not everyone was so lucky, though. Micron (NASDAQ:MU) continues to meet sellers, as it ran right into resistance. Shares fell about 3% on Tuesday, while Western Digital (NASDAQ:WDC) also dove on the day, down roughly 6%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBitcoin had a rough day too, plunging more than 11% to $9,600 at the time of this writing. Some New PartnershipsBlue Apron (NYSE:APRN) stock surge more than 60% at one point on Tuesday. The move came on news that it will partner with Beyond Meat (NASDAQ:BYND). The two are starting out with a pair of burger offerings and will look to add other options moving forward. Both should be available by Aug. 26. APRN has had a horrendous journey thus far as a public company and has already resorted to a 1-for-15 reverse stock split. But the partnership could be a win-win for both companies, and at least for one day, has given APRN stock a much-needed shot in the arm. * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip While we await the likely IPO of DoorDash this year, it was announced that McDonald's (NYSE:MCD) will partner with the delivery company. The plan is to start with 200 locations in Houston later this month. If successful, it will roll out nationwide.DoorDash reportedly has contract drivers within driving distance of 80% of U.S. households, prompting MCD to add it to Uber (NYSE:UBER) Eats and choose it over GrubHub (NYSE:GRUB) and Waitr (NASDAQ:WTRH). WTRH hit a new 52-week low in the session, by the way.It has been a busy month for Big Blue. International Business Machines (NYSE:IBM) will report earnings on Wednesday, and just recently closed on its acquisition of Red Hat. That's not all though. The tech giant reached a multi-year alliance with AT&T (NYSE:T), to "support each other in networking and the cloud." Part of that support will come from IBM's recently acquired Red Hat. Splits and Analyst TakesAlibaba (NYSE:BABA) announced plans for an 8-to-1 stock split earlier this year, pending shareholder approval. Well, the company received the green light and BABA stock will split sometime before July 15th, 2020.There weren't too many big analyst actions to take note of, but Slack (NYSE:WORK) did receive some initiations. Morgan Stanley analysts slapped an equal-weight rating on Slack, while Goldman Sachs went with a neutral rating an $34 price target, implying about 2% downside. Click to Enlarge Don't fret though, bulls. William Blair analysts initiated WORK at an outperform rating, while Canaccord Genuity analysts started it at a buying rating with a $40 price target. Barclays and Keybanc also gave an overweight rating, using price targets of $45 and $44, respectively. Heard on the Nasdaq TodayLike IBM, Netflix (NASDAQ:NFLX) will also report earnings on Wednesday. However, after tying HBO -- now an AT&T property -- in Emmy nominations last year, HBO topped NFLX this year 137 to 117. Obviously, Game of Thrones helped tip the scales, pulling in 32 nominations on its own.Netflix may face a dilemma losing its top two shows in 2020, Friends and The Office, as well as other top content later on. It's no wonder CEO Reed Hastings has been spending so much on content over the last few years.Tech companies testifying on Capitol Hill seems to be about one of the most pointless events. It's clear Congress can't keep up with technology and they can't keep up with these companies. Nothing ever seems to come of it -- other than headlines.On Tuesday, Apple (NASDAQ:AAPL), Amazon (NASDAQ:AMZN), Facebook (NASDAQ:FB) and Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) were there, with hearings scheduled for tomorrow as well. It could be an important development though, as the government looks to build an antitrust case against several of these companies. Notice who's not there though? Microsoft (NASDAQ:MSFT).Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell was long ROKU, AAPL, AMZN and GOOGL. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Retail Stocks Goldman Sachs Says Are Ready to Rip * 7 Services Stocks to Buy for the Rest of 2019 * 6 Stocks to Buy and 1 to Sell Based on Insider Trading The post Nasdaq Today: Rokuas New Highs; Beyond Meatas Partnership appeared first on InvestorPlace.
By Ángel Pardo: Value investors are patient when they know what they’re doing, why they’re doing it and how long it will take for their investment to show a return Continue reading...
Is the market rally justified? Corporate earnings are at the lowest level this year. We might be heading into an "earnings recession."
When it comes to the Nasdaq Composite and Nasdaq-100 indexes, many investors think of growth stocks, including those from communication services, consumer and technology sectors. In fact, those three sectors combine for more than 82% of the Nasdaq-100 Index's roster.And when it comes to Nasdaq exchange traded funds (ETFs), the Invesco QQQ (NASDAQ:QQQ) is the dominant name. Home to $74.56 billion in assets under management, QQQ is one of the largest ETFs in the world.While Nasdaq is known as one of the world's largest operator of equity exchanges, the company has been a force in the indexing world dating back to the early 1970s.InvestorPlace - Stock Market News, Stock Advice & Trading Tips"Nasdaq calculates more than 40,000 diverse indexes, providing coverage across asset classes, countries and sectors," according to the company. * 7 Dependable Dividend Stocks to Buy That means in addition to QQQ, there are plenty of compelling Nasdaq ETFs out there, including some appropriate for investors seeking robust technology sector exposure. Here are some Nasdaq ETFs to consider beyond the famed QQQ. Invesco DWA NASDAQ Momentum ETF (DWAQ)Source: Shutterstock Expense ratio: 0.60% per year, or $60 on a $10,000 investment.The Invesco DWA NASDAQ Momentum ETF (NASDAQ:DWAQ) is a Nasdaq ETF that can be used as an alternative or complement to the aforementioned QQQ. DWAQ's underlying benchmark is the Dorsey Wright NASDAQ Technical Leaders Index."The Index is comprised of approximately 100 securities from an eligible universe of approximately 1,000 securities of large capitalization companies from the NASDAQ US Benchmark Index. All securities in the universe are ranked using a proprietary relative strength (momentum) measure," according to Invesco.DWAQ is a fine idea for investors looking for growth exposure because more than 83% of the fund's holdings are large-, mid- and small-cap growth stocks. Additionally, this Nasdaq ETF is a valid consideration for investors looking to overweight technology stocks as DWAQ allocates more than 31% of its roster to that sector. ProShares Equities for Rising Rates ETF (EQRR)Source: Shutterstock Expense ratio: 0.35%The ProShares Equities for Rising Rates ETF (NASDAQ:EQRR) by its very name would seem to imply it is not useful at a time when the Federal Reserve is reportedly mulling interest rate cuts. However, this Nasdaq ETF is still up nearly 10% year-to-date and is a sensible option for investors looking for a Nasdaq ETF with reduced tech exposure.EQRR, which is nearly two years old, tracks the Nasdaq U.S. Large Cap Equities for Rising Rates Index. The aim of this Nasdaq ETF is to provide exposure to "sectors that have had the highest correlations to 10-Year U.S. Treasury yields and within those sectors, the stocks that have had a strong tendency to outperform as rates rise," according to ProShares. * 7 Short Squeeze Stocks With Big Upside Potential Giving EQRR something of a value tilt, the fund devotes over 36% of its combined weight to the financial services and industrial sectors, indicating that it can mitigate some of the volatility associated with other growth-heavy Nasdaq ETFs. First Trust Nasdaq Artificial Intelligence and Robotics ETF (ROBT)Source: Shutterstock Expense ratio: 0.65%The First Trust Nasdaq Artificial Intelligence and Robotics ETF (NASDAQ:ROBT) is a prime example of a thematic ETF and the theme offers ample long-term potential. ROBT, which is nearly a year and a half old, targets the Nasdaq CTA Artificial Intelligence and Robotics Index and holds 95 stocks. This Nasdaq ETF places plenty of competition, but ROBT is compelling avenue to robtics investing.ROBT features exposure to three segments of the artificial intelligence and robotics universe -- companies the issuer deems to be enablers, engagers and enhancers. Engagers command 60% of ROBT's index while enablers garner 25% and enhancers land at 15%. Robotics ETFs usually feature exposure to multiple sectors, but ROBT is applicable for tech investors because the Nadaq ETF devotes 61% of its weight to that sector.Industry observers expect big growth for the themes represented in ROBT. Global robotics spending could swell to almost $231 billion by 2021, according to IDC while artificial intelligence could command $15.7 trillion of the global economy by 2030. Invesco NASDAQ Internet ETF (PNQI)Expense ratio: 0.60%With the Nasdaq being home to so many of the largest most venerable internet companies, it makes sense that there would be a dedicated Nasdaq ETF for those stocks, That fund is the Invesco NASDAQ Internet ETF (NASDAQ:PNQI), which tracks the NASDAQ Internet Index.There is plenty of competition in the internet ETF arena, but PNQI has been admirable performer, returning more than 83% over the past three years. Plus, this Nasdaq ETF is by no means small as highlighted by its $570.1 million in assets under management. * 5 EV Stocks to Buy for Big Gains Over the Next Decade What makes this Nasdaq ETF interesting relative to traditional internet ETF competitors is that mixes U.S. and international companies whereas competing funds usually focus on domestic or ex-US stocks, not both. Led by Alibaba (NYSE:BABA), four of PNQI's top 10 holdings are ex-US companies. In fact, PNQI has been a better than some rival funds that only focus on international internet companies. First Trust Nasdaq Semiconductor ETF (FTXL)Source: Shutterstock Expense ratio: 0.60%There are a few semiconductor funds out there, but the First Trust Nasdaq Semiconductor ETF (NASDAQ:FTXL) is one of the more overlooked members of that group, but this Nasdaq ETF is a way for investors to access a unique weighting methodology for chip stocks.FTXL's underlying index is the Nasdaq US Smart Semiconductor Index. That benchmark uses growth, value and volatility as barometers for stock inclusion. That means that over longer holding periods, this Nasdaq ETF's returns could differ significantly from traditional chip funds.The median market value of FTXL's 30 components is $14.5 billion, indicating the fund leans toward smaller chip names, but even with that, the fund trades at favorable multiples relative to basic small-cap index funds. And even with the size bias, FTXL remains home to some of the largest semiconductor stocks. FTXL is up nearly 26% year-to-date.Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Dependable Dividend Stocks to Buy * 10 Stocks Driving the Market to All-Time Highs (And Why) * 7 Short Squeeze Stocks With Big Upside Potential The post 5 Nasdaq ETFs for Tantalizing Tech Investments -- Besides the QQQ appeared first on InvestorPlace.
With the market at record highs and flashing consistent buy signals, we could see some give-back before stocks continue higher.
Shares of Amazon (NASDAQ:AMZN) have been bursting higher, rallying past $2,000 per share this week and helping lead the charge on new record highs for the Nasdaq. Unlike the Nasdaq though, Amazon stock is not yet at new record highs. Will it be able to get there?Source: Shutterstock The stock is trading is at its highest level since the first day of the fourth quarter. Since then, it has embarked on numerous rallies and deep declines. The way the charts are setting up, a test of the prior highs or a run to new highs is certainly possible. Trading AmazonAs you can see on the chart below, the Amazon stock price breached the $2,030 level twice. These moves came in early September and early October, before cascading lower. Amazon stock bottomed out just above $1,300 in December, down more than 36% from its highs. Click to EnlargeInvestorPlace - Stock Market News, Stock Advice & Trading TipsThe peak-to-trough decline was better than a number of high beta stocks, but almost twice that of the PowerShares QQQ ETF (NASDAQ:QQQ). * 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond Amazon is not yet overbought, as indicated by the RSI reading at the top of the chart (blue circle). If the overall market can hold up, Amazon can continue to power its way higher. After all, its most recent earnings report in April was strong, it just happened to come right ahead of a major fall in the market.Those earnings results could give investors optimism for the upcoming report later this month, helping to bid shares higher ahead of the report. Further, Prime Day is just a few days away (starting on July 15th). That's an event investors are apparently buying ahead of, and it may set up for a sell-the-news situation as a result.The Prime Day catalyst could actually time up perfectly with a run up toward its all-time high at $2,050.50. If Amazon's rally sputters and pulls back ahead of earnings, it could be an opportunity for investors to buy the dip. That's particularly true if AMZN stock dips down to $1,950 and this level acts as support.Those are now the two levels to watch: $2,050 on the upside and $1,950 on the downside. Amazon vs. FAANGA few weeks ago when the S&P 500 was hitting new highs, the Nasdaq was not. We pointed out that it didn't have the participation from FAANG.Of the group, only Amazon was less than 10% off its all-time highs. In fact, Facebook (NASDAQ:FB), Apple (NASDAQ:AAPL), Netflix (NASDAQ:NFLX) and Alphabet (NASDAQ:GOOGL, NASDAQ:GOOG) were all at least 13% off their highs at the time.Even with Amazon carrying the load (along with Microsoft (NASDAQ:MSFT), which has been a beast) how long can the Nasdaq hit new highs without its biggest components doing better?For now, FAANG (minus AMZN) is still at least 7% off its all-time highs. Imagine the boost the Nasdaq would catch if big money started flowing back into these names again. In that case, imagine how well Amazon stock would do, given that it already has bullish momentum.FB and NFLX may be leading in year-to-date gains, but AMZN doubles the next best performer on the one-year timeframe.Simply put, this name is crushing its peers. Bottom Line on Amazon StockWith Prime Day approaching and the Nasdaq drifting higher, Amazon stock could continue to rally. A move up toward the $2,050 level may be met by sellers initially, but a pullback would all be too healthy for bulls. Particularly if they're optimistic ahead of earnings.The stock continues to perform well and is outrunning its FAANG peers at the moment. On July 11, for the first time in almost a year, Amazon stock topped a $1 trillion valuation.Long-term investors who like the name should take advantage of large swoons in Amazon. It dominates in various secular growth themes and has clearly positioned itself as a leader in tech.Its strong earnings growth (estimates call for 35% growth this year and 40% growth in 2020) makes the valuation more palpable. Even better? AMZN has been crushing earnings estimates over the last seven quarters, while its immense cash flow buoys any financial worries from investors.That said, we saw a 35%+ correction in Q4 and ~15% pullback in the month of May. These are the types of swoons to take advantage of for those looking for longer-term entries.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long AAPL, AMZN and GOOGL. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Buy for Less Than Book * 7 Marijuana Stocks With Critical Levels to Watch * The 10 Best Dividend Stocks to Buy for the Rest of 2019 and Beyond The post This Is Why Amazon Stock a Must-Buy Amid the Nasdaq Rally appeared first on InvestorPlace.
U.S. markets and stock ETFs pushed to new record highs Friday on rising optimism that the Federal Reserve will cut interest rates later this month. On Friday, the Invesco QQQ Trust (QQQ) increased 0.4%, SPDR Dow Jones Industrial Average ETF (DIA) gained 0.6% and SPDR S&P 500 ETF (SPY) rose 0.2% as the Dow Jones Industrial Average trade above 27,000 for the first time from the previous session and the S&P 500 hovered above 3000. The markets were reassured after Federal Reserve Chairman Jerome Powell all but guaranteed the central bank would cut interest rates as soon as later this month, the Wall Street Journal reports.
It was shaky action in the Nasdaq today. At first, the index rallied to new all-time highs, hitting 8,226. Then, it fell and closed lower by 0.08%. The rally came on more hints from Fed Chair Powell suggesting a rate cut is coming later this month.Source: Shutterstock The market is now fully pricing in at least a 25 basis point cut to the Fed funds rate. If the rate doesn't materialize, the stock market will surely sell off as a result. I'd expect tech to get hit extra hard under that circumstance. As it stands, markets are pricing in a 20% chance of a 50 basis point cut, which is up notably over the past few days.Worth pointing out is that a majority of the market is preparing for that 50 basis point cut at the September meeting, with odds standing at about 56%. Further, there is a roughly 12% chance of a 75 basis point cut by then.InvestorPlace - Stock Market News, Stock Advice & Trading TipsAs fun as it is to talk about the Fed almost daily… it is the commanding topic on Wall Street at the moment. * 3 Forgotten Tech Stocks Worth Remembering However, earnings are set to pick up in the second half of the month, setting the stage for some big moves in tech and elsewhere. You know investors in the PowerShares QQQ ETF (NASDAQ:QQQ) are bracing for some action with FAANG set to report in a few weeks. Heard at the Nasdaq TodayMicrosoft (NASDAQ:MSFT) hit new all-time highs again, and drew in a new analyst in the process. Cowen initiated coverage of MSFT with an outperform rating and $150 price target. They argue that MSFT has positioned itself in the right secular growth markets, although the coverage is certain to draw some criticism of Cowen's timing. I mean, up 35% so far in 2019 and this is when they start coverage?In any regard, the target implies about 8.5% upside from current levels.Bank of America analysts sent Snap (NYSE:SNAP) stock to new 52-week highs after they upped their price target from $12 to $17. They make the case that downloads of Snapchat are up more than 60% sequentially and year over year. If true, it could lead to better-than-expected user growth.Take-Two Interactive Software (NASDAQ:TTWO) took a hit on the chin in early Thursday trading, but closed lower by "just" 0.54% after a downgrade to hold at Jefferies. The firm's $115 price target is just below TTWO's current price of $116.53. News on the Nasdaq TodayAmazon (NASDAQ:AMZN) Music has reportedly seen its subscriber base rise 70% over the past year.Apple (NASDAQ:AAPL) Music has also boasted strong growth with its service earlier this year, helping to drive its robust $10-billion-per-quarter Services unit higher. The rise in music subscribers for Amazon comes as little surprise, as consumers continue to gravitate toward Spotify (NYSE:SPOT), Apple Music, Amazon Music and other streaming services.Biotech stocks took it on the chin Thursday. A likely decision from the White House is benefiting some groups in healthcare and hurting others. CVS Health (NYSE:CVS), Humana (NYSE:HUM), Cigna (NYSE:CI) and others benefited from the news -- here's how to trade Cigna's big rally -- while others suffered.Gilead Sciences (NASDAQ:GILD), Celgene (NASDAQ:CELG), Bristol-Myers Squibb (NYSE:BMY), Biogen (NASDAQ:BIIB), Regeneron (NASDAQ:REGN) and others all took a hefty hit on high volume. Of the names above, BMY and REGN hit new 52-week lows in the session.The question now becomes, will it be a one-day beating or is this just the start?Last but certainly not least, Apple is reportedly gearing up to offer its higher-end iPhones in India. The idea of Apple tapping into a market with 1 billion consumers is certainly appealing to investors. That's even as affordability in a country like India vs. the U.S. are quite different. * 10 Stocks to Sell for an Economic Slowdown According to the report, the XR and the XS could hit regional markets throughout the country. Further, Apple plans to assemble the units in India. This keeps the company from having to pay high taxes on the import of these devices. Apple has just ~1% of the smartphone market in India, paving the way for potential iPhone unit growth going forward.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long AAPL, AMZN, CELG. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell for an Economic Slowdown * 7 Marijuana Penny Stocks That I May Buy * 7 of The Best Schwab ETFs for Low Fees The post Nasdaq Today: Biotech Wrecked; Buy Microsoft?Â appeared first on InvestorPlace.
Preliminary data shows that hedge funds achieved one of the best performances since the financial crisis Continue reading...
Dovish testimony from the Fed chairman boosted stocks and gold. The Nasdaq Composite broke out above a double top as the dollar stumbled.
U.S. markets and stock exchange traded funds rallied to record highs Wednesday after Federal Reserve Chairman Jerome Powell's dovish comments helped stoked bets of interest rates cuts ahead to bolster economic growth. On Wednesday, the Invesco QQQ Trust (QQQ) increased 1.1%, SPDR Dow Jones Industrial Average ETF (DIA) rose 0.5% and SPDR S&P 500 ETF (SPY) gained 0.6%. Stock investors regained their risk-on attitude after Powell stated the central bank was ready to "act as appropriate" to support ailing economic growth, Reuters reports.
U.S. markets and stock ETFs struggled to pare earlier gains on Tuesday on earnings risks while concerns over the ongoing trade dispute and diminished hopes of an aggressive interest rate cut also muted ...
Interested in buying a graduation gift for a loved one? Or perhaps you're a recent graduate yourself, and you're looking for good exchange-traded funds to start your own investment portfolio. You've come to the right article. These are the three ETFs to buy that represent a great mix of growth and stability for young investors.There are a few things to keep in mind when picking your first ETFs to buy as a young investor. You want to keep fees to a minimum. And, given your long investment time horizon, you want exposure to stocks that will grow quickly in coming years and decades. * 10 Stocks to Buy on College Students' Radars So what three ETFs would make up a great new graduate's portfolio? Read on.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Vanguard S&P 500 ETF (VOO)Without a doubt, the SPDR S&P 500 Trust (NYSEARCA:SPY) is America's most popular ETF. It's the largest ETF by assets, and it's often the most actively traded as well. And with good reason. If you own nothing else, your fundamental holding should probably be in America's 500 largest, most dynamic firms. When you hear folks talking about how the stock market produces 9% annually over time, they are referring to the S&P 500 index.But while the SPY ETF cruises off its long history and reputation, a rival has emerged. Vanguard has always prided itself on low fees. And they've pushed things to a new level with the Vanguard S&P 500 ETF (NYSEARCA:VOO).The VOO ETF charges just 0.03% a year in management fees, compared to the SPY's 0.09%; 0.09% is very cheap as far as ETFs go, but VOO is even better, especially if you have a long-time horizon. On a $10,000 investment, for example, SPY would charge $9 per year in fees, versus $3 per year for VOO. Compounded over several decades, that could easily end up being a several thousand dollar difference. In any case, investors should have exposure to the S&P 500 as a core holding, and the VOO ETF is the best to buy for that aim right now. iShares Russell 1000 Growth ETF (IWF)You can't go wrong owning the S&P 500. But for younger investors in particular, you may want a spicier option. That leads us to the iShares Russell 1000 Growth ETF (NYSEARCA:IWF). Many folks default to the Nasdaq 100 (NASDAQ:QQQ) for this sector.But keep in mind that the QQQ ETF owns just 100 leading growth companies, and has outsized exposure to just a handful of mega-cap tech companies. That's fine if you want a heavy dose of the FAANG giants. But if you want to participate in the broad range of explosive tech growth we're seeing in smaller Silicon Valley firms right now, you need to diversify more widely. * 7 Retail Stocks to Buy for the Second Half of 2019 The iShares Russell 1000 Growth ETF manages that by having a more distributed portfolio spanning many hundreds of different companies. Additionally, it has more holdings outside of pure tech companies, giving you more diversification. It has exposure to sectors such as healthcare that have promising demographic trends for long-term investors in particular. That protects the ETF from suffering so heavily should we get another tech wreck like in 2000. And at just 0.20% a year, IWF's management fee is more than reasonable as well. Vanguard Total World Stock ETF (VT)We're just coming off what many have termed the American century. The United States ascended to the role of the world's superpower. In doing so, its economy became the world's undisputed leader as well. Not surprisingly, U.S. stock returns have crushed those of stock exchanges of almost all other large countries as well.There's no guarantee that the next century will be as auspicious for American equities, however. The U.S. faces an aging population, a splintering political environment, and a crushing debtload going forward. That's not to say that U.S. stocks are doomed in the future. They could well continue their exhilarating run in coming years.But in an uncertain world, one of the best forms of diversification is geographic. The Vanguard Total World Stock ETF (NYSEARCA:VT) is one great ETF to buy to protect a young investor against weakness in American stocks. The VT ETF splits its money across all the world's stocks ranked by market cap. This gives investors a healthy dose of America's largest companies, but also the leading firms from Europe, Japan, China and so on. As long as stocks rise globally, VT will go with it, whether or not America continues to lead the pack. And with a management fee of just 0.09% a year, this is one of the cheapest options out there to get non-U.S. stock exposure.At the time of this writing, Ian Bezek held no positions in any of the aforementioned securities. You can reach him on Twitter at @irbezek. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Best Stocks for 2019: A Volatile First Half * 7 Simple Ways for Young Investors to Invest Their First $1,000 * 6 Stocks to Buy Based on Insider Buying The post 3 ETFs to Buy That Make Perfect Graduation Gifts appeared first on InvestorPlace.