dDow Jones futures will open Sunday evening, along with S&P 500 futures and Nasdaq futures.
The stock market rally saw the Dow Jones, S&P 500, Nasdaq composite and Russell 2000 all hit record highs this past week, with techs and small caps leading. After initially wavering on the Fed rate cut, stocks powered higher.
Chip stocks were big winners as Nvidia bought an Intel stake. Nvidia stock, after a busy week, is at a key juncture.
Apple is above buy points after the iPhone 17 went on sales in stores Friday, amid signs of strong demand. Apple stock got a price target hike on Sunday.
Micron Technology earnings loom as the memory-chip giant has become a big AI winner. Expectations are high, with Micron preannouncing weeks ago and analysts predicting a bullish outlook.
Investors could consider taking some partial profits heading into earnings. Micron stock fell Friday, but after a huge run.
More broadly, investors have the "happy dilemma" of how to handle greatly extended winning stocks, including Astera Labs but especially near-vertical speculative names such as IonQ and Oklo.
Meanwhile, Tesla won regulatory approval Friday night from Arizona to test its ride-hailing service with safety drivers.
Micron stock is on Leaderboard. Astera Labs stock and Micron are on the IBD 50. Nvidia stock and Palantir are on IBD Sector Leaders.
Dow Jones Futures Today
Dow Jones futures open at 6 p.m. ET on Sunday, along with S&P 500 futures and Nasdaq 100 futures.
Remember that overnight action in Dow futures and elsewhere doesn't necessarily translate into actual trading in the next regular stock market session.
Join IBD experts as they analyze leading stocks and the market on IBD Live
Stock Market Rally
The stock market rally had another big week, with all the key indexes hitting fresh highs.
The Dow Jones Industrial Average rose 1.05% in last week's stock market trading. The S&P 500 index climbed 1.2%. The Nasdaq composite and small-cap Russell 2000 jumped 2.2%.
The Nasdaq is 5.7% above its 50-day moving average, slightly in extended territory.
Chips and speculative growth were especially strong this past week. Homebuilders were losers amid rising Treasury yields and weak guidance from Lennar.
The 10-year Treasury yield jumped eight basis points to 4.14% after briefly undercutting 4% immediately following the Fed rate cut. So far rising a higher 10-year Treasury yield hasn't hit the overall stock market, but it bears watching.
U.S. crude oil futures fell 1 cent to $62.68 a barrel last week.
Five Stocks Near Buy Points As Market Powers Up
ETFs
Among growth ETFs, the Innovator IBD 50 ETF popped 4.5% last week. The iShares Expanded Tech-Software Sector ETF rallied 4.9%. The VanEck Vectors Semiconductor ETF advanced 3.7%, with Nvidia and Micron stock both major holdings. ARK Innovation ETF soared 8.1% last week and ARK Genomics ETF jumped 7.5%.
SPDR S&P Metals & Mining ETF gained 5.6% last week. SPDR S&P Homebuilders ETF fell 2.7%. The Energy Select SPDR ETF edged down 0.1% and the Health Care Select Sector SPDR Fund declined 0.6%.
The Industrial Select Sector SPDR Fund rose 1%.
The Financial Select SPDR ETF climbed 0.8%.
Best Growth Stocks To Buy And Watch
Nvidia Stock At Turning Point?
Nvidia stock dipped 0.7% to 176.60 last week, but rebounded from a drop below the 50-day line. Shares fell as China reportedly ordered big Chinese firms not to buy Nvidia's AI chips, but bounced as Nvidia announced a $5 billion stake in Intel as part of a partnership.
NVDA stock still has a 184.48 flat-base buy point, according to MarketSurge. Investors could use the short-term high of 180.28 as an early entry, or even Friday's intraday high of 178.08 as an aggressive buy point. On the flip side, breaking below the 50-day line and recent lows would be a sell signal.
Apple Stock
Apple stock rallied 4.9% to 245.50 last week, with Friday's 3.2% gain pushing the Dow tech giant above a new 241.32 handle buy point. Shares initially tumbled on the no-surprise iPhone 17 unveiling on Sept. 9, but AAPL stock has rebounded on strong preorders, with the latest handsets on sale in stores as of Friday.
Apple has told at least suppliers to boost production of the entry-level iPhone 17 by more than 30%, The Information reported Friday, a sign of high demand.
Wedbush's Dan Ives on Sunday raised his Apple stock price target to 310 from 270.
Micron, Astera, Oklo: Time To Take Partial Profits?
Micron stock rose 3.5% to 162.73 last week, even with Friday's 3.65% pullback. Shares have soared 36.7% in September to a record high. Micron earnings loom Tuesday night. Anyone who bought near the 128.60 cup-with-handle buy point can choose to hold their full position into earnings.
But, with Micron 31.3% above the 50-day line, investors might choose to take some partial profits ahead of results.
Astera Labs stock fell 2.65% on Friday to 245.20, but the AI chipmaker bounced off the 10-day line and still rose 6.8% for the week and 34.6% so far this month. ALAB stock is 45.8% above its 50-day line.
Both Micron and Astera are highly profitable with booming revenue growth.
In contrast, quantum computing play IonQ and nuclear startup Oklo are set to have years of losses, with the latter not boasting any revenue. Both stocks are also far more extended and massive gains in the past few weeks.
IonQ stock soared 26.6% for the week and 64.7% so far this month. Shares are 58.9% above their 50-day and 26.7% above the 10-day.
Oklo stock surged 28.8% just on Friday, vaulting 63.5% for the week and 83.6% in September. Shares are 79.6% above their 50-day and 56.6% above the 10-day.
Of course, stocks can always grow more extended. None of these names is in climax runs.
Selling a winning stock is more of an art than a science.
Selling some shares on the way up for greatly extended stocks is one option. That can give investors the confidence to hold a core position for further gains and make it easier to sell when a winning stock begins a serious pullback.
Other investors may prefer to start scaling out on the downside, cutting back as a stock breaks the 10-day, 21-day and 50-day line, for instance.
Often, either strategy may end up getting investors out at roughly similar prices.
Ultimately, investors have to decide what works for them, adjusted for their conviction and exposure to a particular name. Market conditions also are important. With the Nasdaq slightly extended, risks are rising of a market pullback that hits white-hot stocks.
Why This IBD Tool Simplifies The Search For Top Stocks
What To Do Now
Aside with any happy dilemmas of whether to lock in gains on huge winners, investors should be heavily exposed.
A lot of stocks are extended, like Micron, Astera, IonQ and Oklo. Several stocks, such as Palantir, AutoZone, Costco Wholesale and Uranium Energy also are on tap.
Read The Big Picture every day to stay in sync with the market direction and leading stocks and sectors.
Please follow Ed Carson on Threads at @edcarson1971 and X/Twitter at @IBD_ECarson for stock market updates and more.
