Market Rebounds; Tesla, CrowdStrike, Las Vegas Sands Make Bullish Moves.

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0:16Good afternoon, everyone, and welcome to Stock Market Today for Thursday, October 23rd. It's Alexis Garcia here. And the major indexes rebounding today as fresh earnings reports came in from Tesla and IBM. There was also some movement on oil prices thanks to Russia sanctions. So here with me to help break down all the news you need to know about today's trading action is IBD News Editor Ed Carson. So Ed, what do you have on tap for us today? Yeah, well, we're going to take a look at Tesla. A nice bullish move today and also bullish moves by CrowdStrike and Las Vegas Sands. Oh, yeah. Feeling bullish after kind of a rocky day yesterday.

0:59We have our YouTube commenters in the chat. And I think yesterday with you and Ken, markets kind of driving people to some desperate places right now. But I want to keep an eye on that there. But we're checking in on the major indexes first. The S &P 500 up six tenths of a percent today. The Dow up three tenths of a percent. The Nasdaq up nine tenths of a percent. And small caps leading the way up 1.3 percent. So I'm going to go ahead and get my screen share going, Ed. But talk to me about the market action. It just seems like there's been a bit of chop. It's driving people a little bit nutty.

1:38But, you know, the S &P 500 today finishing in the upper half of that range and not so far off highs. Yeah, it really puts even yesterday's in perspective because we bounced off the lows, but it was a down day. But here we are, and now we continued that bounce off the 21-day line. A lot of leading stocks to the two, and that's really important because, I mean, the indexes were fine. I mean, ultimately, it wasn't that great. It's not really moving that much within that range. It was leading stocks that were beneath the surface. And then when you look at market conditions, you look at the major indexes and the leading stocks, And the indexes were fine, really, ultimately.

2:15It's been choppy, but the leading stocks showed damage. Today, a lot of them rebounded. Some cleared buy points, some set up. So definitely more encouraging. But is this just the top of another sine wave that goes and we're heading back down? Or is this the cusp of something real and it's just hard to know? This is difficult. Do you step in here, make a pilot buy? Or do you say, I'm going to wait for a little while? It's a tough – this is why choppy markets are so tough. And I'm just jumping over to the NASDAQ composite here, Ed. And, you know, similar action here, the chop, but again, nice move today, finishing in the upper half of that trading range.

2:57And it looks like tech was really a strong point today. Yeah, definitely a strong area. And, I mean, you know, you had Tesla, you had some other – a lot of names in the space, some speculative names, a lot of names that were going out there. But it was also industrials, aerospace. There was energy. We're going to look at a casino. So there was some breadth to this rally today. It was just a much more encouraging performance. And all the major indexes are pretty close to record highs. And it really wouldn't take much at all to get to new high ground here. And I just want to check Lee quick in on small caps since that also had a nice move today, up about 1.3%.

3:37And again, after the last couple trading days, pulling back, close below the 21-day line, but moving higher today. Yeah, back above the 21-day, that's just a nice sign there. So, I mean, yeah, just a nice action here as well. All right. Well, let's check in on some sector ETFs, starting with FFTY. That's the IBD50 ETF. We can see, again, more rebounding here up 3.5 % today after flirting with a 50-day line yesterday. Yeah, really strong bounce. And you can see this is more of an indication of how there's been this, you know, real choppy action. And some of this might be gold stocks. And there's some speculative names that have been in there.

4:19But still, a lot of stocks have had this kind of violent action. And the index is like, oh, okay, this and that, you know, ups and downs. And yeah, but so really encouraging, but it's also, you can see how people might be a little queasy after this kind of ride. And let's take a look at software. That's IGV. This up 1.1 % today. And again, retaking this 21-day line. But, you know, it seems like it's been stuck in this range here after hitting this 117 high. Stuck in this range, though a number of them did clear buy points, including CrowdStrike. So, and this one, you know, this one didn't move that fall that much yesterday.

5:01And again, some of it, there's certain weightings in there. But while some, you know, you want to look for on down days like that, you know, look for the stocks that show relative strength. And some of these names didn't fall that much yesterday, which is an encouraging sign. And let's take a look at GLD. That's the gold shares ETF. ETF, this up about 0.4 % today, but, you know, falling off the intraday highs today, Ed. But thoughts here. This has had such a great run, but now it seems like struggling to stay above this 10-day line. Well, I found support at the 21-day line. That was nice to see.

5:40And actually, if you call up GDX, that found support at the 50-day line. That's the miner's ETF. And miners tend to swing up and down more than gold because a couple of dollars in gold isn't that much for you and me holding gold, but it means a lot for the profitability of miners. Yeah, I mean, look, it was getting parabolic, or it was really sharp incline. And I'll be honest, it's an odd situation. And many have commented on it, gold surging while growth stocks are doing well. It's just a weird combination. So maybe it just needs to pause and base. I mean, you see how gold based for several months, and then it took off again.

6:16So maybe you need a break, whether it's a few days, a few weeks. So it's not necessarily the end. It was probably just, no, we need to take, it was getting speculative. And so it's the speculative news we're getting hit. And when gold becomes speculative like that, I guess it just needed to take a break. All right. Let's look at ITA. That is the aerospace and defense sector. Another winner today, up 2.4%. Yeah. Some nice action. Some stocks moved back into buy zones. So there was definitely an encouraging day. If you don't want to just be in tech, there's some strong, solid growth or strong growth aerospace names to be looking at, too.

6:56And let's just wrap up with a look at O-H-I. That's, oh, I'm sorry. O-I-H. O-I-H. I probably, I probably. It's been a long week. That is the oil services ETF, a gainer today, up more than 5%. So thoughts here, Ed? Yeah, oil prices surge because, as you were sort of alluding to, the Trump administration is moving towards sanctioning some big names. But also, if you called up FTI, you know, I'm not sure if this is technically in the oil services group, but machinery, but this one surge. We are not looking at this one, but we could have. And this looks a lot like Las Vegas Sands, big gap up on earnings.

7:35So there was definitely there's some there's definitely some oil stocks that are outperforming, you know, the overall sector. And I know we kind of got ahead of ourselves here, but did you want to take a look at market breadth with RSP just again to talk about the stocks participating here? Because it seems like there was maybe some broader participation today. This went up almost half a percent. Yeah, I mean, this is fine. I mean, not too different from the S &P. And it didn't fall too much yesterday. It's right in the top of this upper half of its range. It's holding above the 21-day line. And near highs, of course, like all the other, like the indexes, wouldn't take much to start looking negative again either.

8:16All right, Ed. Well, let's go ahead and take a look at some individual stock.

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8:49So as you mentioned, some bullish moves today. So let's just kick it off with Tesla. This went up 2.3 % on that earnings report yesterday. They had a surprise miss there, Ed, but it seems like investors are reacting to maybe some of the more positive things they saw in that earnings report. So what are your thoughts here? Yeah, I mean, you know, you could take it anyway because Musk said similar things, but he said positive things. And so if you, you know, you could say it's old news and sell it off, or you could say, wow, he's really positive and look at this. And ultimately that's how things shook out.

9:25And, you know, last quarter was sort of a one-off either way, like however you want to view it. Big upside reversal from the 21-day line, nice shakeout. I mean, honestly, that's a nice shakeout. you know it has been a volatile handle that this is sort of a handle for this long base but getting that shakeout is nice you know and that's and it didn't go undercut you know you could a longer one would be fine if it got above monday's highs which is almost at 450 that would be an early entry it almost got there got there within a few pennies didn't quite get there you know so it could do that soon at any moment or it could pause for a while but yeah i mean obviously look It's not the earnings in the near now or in the near future.

10:05It's about hopes for self-driving and robots. And so, you know, market is, you know, was encouraged by the conference call ultimately. But this is definitely one that you have to play off the technicals. All right. Well, let's go ahead and shift over to CrowdStrike. That's ticker CRWD. This one up 4.4 % today. And another one here that tested this buy point, it undercuts that pivot point, but now back above into a buy zone. Yeah, there's a few of these software makers that today, they bounced from around their 21-day line on Monday and by now is, you know, moving higher. On Wednesday, you can see, didn't fall that much.

10:48I mean, it held up very well. When you think about the relative strength, really strong performance there. So, but today, strong volume, no, well, slightly above average volume, moved above 507. If you wanted to treat the high, like from like 510 or whatever it was as the high, well, it got above that too. It got above all time highs. So it's nice to get above all that. The relative strength line isn't at a high, but it's above all that handle high. You know, it's above the last several weeks of that. The earnings aren't that great right now, but that's because it's still dealing with the aftermath from a year earlier.

11:23that global internet shutdown or disruption. But the goal, hope, is that it turns around. So really a nice program. This was one of the early ones to sort of actually go, hey, this is actually in a buy zone this morning. All right. Well, let's head on over to Vegas with Las Vegas Sands, Ed. This up 12.5 % on earnings. Nice jump here. Again, building up the right side of this consolidation. a 5805 buy point there, but retaking some key moving averages here, Ed. Yeah. Gapping up moving averages. I got above this 55-ish early entry. You could have bought that. You could still do it, but now at this point, you might just say, well, I'm going to wait to see if it can form a handle because it is already a fair amount above the 50-day line, but really, really nice action here.

12:17The earnings are starting to, the revenue growth picked up again, you know, picked up again, you know, strong earnings. You know, this is not a Vegas. I don't think it has any Vegas properties anymore. It's a Macau, Singapore kind of play. And it was really strong. And, you know, it's getting above all this. If it can get above this base, it's basically going to clear everything from the last, you know, almost the last 18 months. So, and, you know, so that overhead resistance will be basically be gone. The problem is the relative strength line has been terrible. I mean, let's be honest. It's made a bit of a recovery in the last several months, but nobody would say this is a long-term winner over the last few years, last several years.

12:57So that is an issue. But the earnings are looking strong here. Again, that's always an issue. We want to be choppy because you see this up and down. The house always wins, but it doesn't seem to always show up in the earnings line here. It just sort of been flat. So it was a nice performance here. I just also wanted to bring up because, you know, this is a name that, you know, really surprised today, you know, overnight. And we saw a few names like this, like FTI and some others that gapped up within their bases. Maybe this is when it can consolidate. You know, maybe you look into this and see, hey, is there bullish trends?

13:34Are they seeing stronger growth? And we're going to see these estimates come up a little further going ahead. And I just want to take a look at Intel Ed. I think they have earnings posting sometime today. I think those are out, but this went up 3.4 % today. And again, seems like it's trying to build a little bit of a shelf here after this big gain out of this consolidation back here in September. Yeah, maybe that could be an add-on buy point. I don't know if it could really work for a new position. Another name that's really flying. And again, is fixed comfort systems. And this does like an air conditioning and other stuff.

14:14But hey, guess what? AI data centers run hot. And so this one is going to gap up. You know, it's going to be crazy gap up. And technically, it's bouncing from the 50-day line. Technically, on a weekly chart, it has a three-weeks tight. But it's going to be way above that. But if nothing else, so that makes it tough. But it's encouraging to see this name, because you want to see these AI plays, you know, see some evidence. We're going to see the big giants, see how much we're really spending, but still it's nice to see comfort systems. And there's been some other names that have had positive earnings, but makes a little confidence.

14:49And I do want to mention, I forgot to mention tomorrow morning, we have the CPI. Probably won't be that big of a deal ultimately because I think a Fed rate cut is locked in. But China trade talks start and then we have a slew of news over the next week. So a lot of things, you know, that investors should be just paying attention to in the next several days. All right, Ed. Well, thank you so much for your insights today. That wraps it up for this edition of Stock Market Today. If you want more market analysis, be sure to tune in tomorrow morning, starting with IBD Live. You can head on over to investors.com slash IBD Live for all the details there.

15:27And, of course, tomorrow, Justin Nielsen and Mike Webster will be back in the hot seat here giving their weekly wrap-up of the market. So you won't want to miss that special extended version of stock market today. But thank you so much for watching and we'll see you back here after the closing bell.

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