The stock market cannot get out of the red; Education stock provides a bright spot


Major stock indexes are all in the red in afternoon trading, rebounding slightly from the past hour and holding above the day’s lows. The Dow Jones Industrial Average is nearly flat, while the small-cap Russell 2000 is the hardest hit.


The Nasdaq composite is down 0.5%, while the S&P 500 is down 0.4%. The Russell 2000 is down 1.7%. NYSE volume is down 4% and Nasdaq volume is up 10.3% from the same time on Tuesday.

Education and food stocks reach purchase points

Stride (LRN), an online education provider for K-12 students, grew 10.9% in significant volume. The stock is back above the buy point of 41.30 from a flat base and in the buy zone. The stock triggered a 7%-8% sell rule and fell below the 50-day moving average in early June, but has since rebounded.

Overview of the US stock market today

Index Symbol Price loss of profit % To change
Dow Jones (0DJIA) 30933.26 -13.73 -0.04
S&P500 (0S&P5) 3804.31 -17.24 -0.45
Nasdaq (0NDQC ) 11117.67 -63.87 -0.57
Russell 2000 (IWM) 169.44 -3.00 -1.74
INN 50 (FFTY) 26.85 -0.39 -1.43
Last Updated: 1:26 PM ET 06/29/2022

Stride posted earnings per share growth of 79% in the March quarter and 67% in the December quarter as results improved significantly from previous quarters. Analysts expect annual EPS growth of 48% in fiscal 2022, moderating to 4% in 2023.

The company has a composite rating of 96, but has posted only modest single-digit quarterly sales growth over the past three quarters.

General Mills (GIS) is up 5.4% after posting a beating in fourth-quarter sales and earnings. The stock broke above the buy point of 74.09 by a handleless cup basis on the MarketSmith chart. The stock hit a new high on the relative strength line.

The leader of the IBD 50 index reaches its buy point

Astra Zeneca (AZN), the pharmaceutical leader, is up 1.8% and is trying to break out of a double-bottom base after hitting the buy point of 67.50 earlier in the day. The volume is light. AstraZeneca has a composite rating of 97, a relative strength rating of 93 and has hit a new high on the weekly relative strength line. AZN is in the IBD 50 index.

Equine (EQNR), a Norwegian oil and gas producer, is down 1.2% after a blistering start to the day, after learning it had partnered with Fluxys to launch a decarbonization service in Northern Europe -West. The stock is forming a double bottom base with a buy point of 38.80, but encountering some resistance at the 50-day moving average.

Equinor has delivered strong quarterly sales growth of over 100% over the past four quarters, with exceptional quarterly growth in earnings per share. Analysts expect annual EPS growth of 88% in 2022, followed by an 18% decline in 2023.

Solar and energy groups are losing ground

Solar stocks retreat after a recent rally, with Enphase Energy (ENPH) down 4.9% after falling 7.5% yesterday. SolarEdge Technologies (SEDG) is down 6.6%, while the Invesco Solar ETF (TAN) is down 4.7%.

The SPDR S&P Energy ETF (XLE) is down 3.1% and remains in the 7%-8% sell zone below the recent buy point at 80.32. Crude oil futures are down 0.2% at $111.52 a barrel.

Bitcoin is down 1.3% today at $19,905, below the $20,000 range it has been fluctuating in.

The Innovator IBD 50 ETF (FFTY), a gauge of growth stocks, is down 1.4%.


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