XAutoplay: On | OffThe stock market was at session highs in afternoon trading Monday as Facebook (FB) solidified a new buy area.
The Nasdaq composite — on the strength of biotech, other medicals, internet and some tech stocks — led with a 1.3% increase. The S&P 500 rose 0.8% and the Dow Jones industrial average ticked up 0.6%.
Dow component Boeing (BA) saw heavy trading. Shares climbed 1.3% to a new high after the plane maker announced a new version of the 737, the Max 10, at the Paris air show.
Volume was lower across the board, but that was expected following the heavy trading Friday on quadruple witching expirations. Winning stocks led losers by 2-to-1 on the NYSE and 9-to-4 on the Nasdaq.
Facebook rose more than 1% and is building on its new entry, created last week when the stock found support at the 50-day moving average. Shares are now up 3% from the 50-day average, which shows the stock rising from the key level and still in range of a secondary buy area.
Several smaller stocks moved past buy points and were also in new buy areas.
Netherlands-based electronics and medical equipment manufacturer Philips (PHG) cleared the 36.59 buy point of a flat base, gapping up 6% in big volume. The stock is almost back to its previous high of January 2014. During that gigantic consolidation, Philips shares declined a relatively modest 40%. The company’s earnings are turning around sharply. Adjusted EPS was flat in Q2 of last year then surged 18%, 1,425% and 1,800% in the most recent periods.
Blucora (BCOR) broke out of a flat base, rising past the 21.85 buy point in heavy volume. The stock has a weak EPS Rating, but a good Composite Rating thanks in part to a solid advance since the lows of March 2016. It’s also in a rising industry group (internet content) that is in the top 10 of 197 groups. The company provides tax preparation and wealth management products, including the TaxAct tax-filing software.
U.S. Concrete (USCR) climbed above the 71.95 buy point of a flat base in volume more than three times its average. The supplier of ready-mix concrete has formed three bases over the past year, but none has resulted in a fruitful breakout.
Allegion (ALLE) traded above the 82.10 buy point of a base-on-base pattern, but the stock faded back into the base and volume was sharply lower than normal. The company makes dozens of security and safety products, from door closers to video surveillance equipment.