Stock Indices: Dow Jones on fresh 9-month highs on oil surge, Goldman Sachs supports

On Tuesday Dow Jones Industrial Average traded within the range of 17,984.54-18,101.92. The benchmark closed at 18,053.60, edging up 0.27% (49.44 points) on a daily basis. It has been the 33rd gain in the past 55 trading days and also a second consecutive one. The daily high has been the highest level since July 20th 2015, when a high of 18,137.12 was registered. The blue-chip gauge has increased its advance to 2.08% so far in April, after going up 7.08% in the preceding month.

The benchmark remained supported on Tuesday, as crude oil futures tested highs unseen since late November 2015. April 19th marked the 46th gain in oil prices out of the past 87 trading days. Oil futures for June delivery went up as high as $42.88 per barrel on April 19th, to mark their highest price level since November 27th 2015, and closed at $41.82, advancing 5.13% from Monday’s close. As of 9:22 GMT today the commodity was down 0.29% to trade at $41.70 per barrel.

Among the companies included in the benchmark, 9 registered a decline and 21 recorded gains on Tuesday. The shares of International Business Machines (IBM) recorded the worst performance within the Dow on April 19th, going down 5.59% to close at $144.00. It has been the 9th drop in the past 21 trading days and also the sharpest one since October 20th 2015, when the stock plummeted 5.75%. April 19th low of $142.61 per share has been the lowest price level since March 16th, when a low of $142.11 a share was registered. In addition, the daily trading volume (13.19M) has been the highest since January 20th. IBM shares have slid 4.92% so far during the current month, following two consecutive months of advance. The company announced an unexpected slump in its Q1 gross margin.

Home Depot Inc (HD) was the second worst performer within the DJIA on April 19th, falling 0.99% to close at $135.44 per share. It has been the 9th drop in the past 21 trading days and also the steepest one since April 7th. The daily trading volume (4.65M) has been the highest since March 18th. Home Depot shares have cut their advance to 1.51% so far in April, following a 7.50% increase in March.

At the same time, the shares of Goldman Sachs Group Inc (GS) recorded the most notable daily increase within the DJIA on April 19th, going up 2.28%, to close at $162.65, while marking their 11th gain in the past 21 trading days. April 19th high of $163.75 per share has been the highest level since January 13th, when the stock went up as high as $167.10. In addition, the daily trading volume (5.83M) has been the highest since March 18th. Goldman Sachs shares have advanced 3.61% so far during the current month, following a 4.98% surge in March. The financial institution reported a larger-than-projected earnings per share in Q1, or $2.68. However, its sales were reported to have declined to $6.34 billion during the first quarter of the year from $10.62 billion in Q1 2015.

UnitedHealth Group Incorporated (UNH) was the second best performer within the Dow on Tuesday, advancing 2.10%, to close at $130.50. It has been the 13th gain in the past 21 trading days, a second consecutive one and also the sharpest one since March 1st, when the stock went up 2.16%. April 19th high of $131.30 per share has been an all-time high. UnitedHealth shares have added 1.24% to their value so far in April, following two consecutive months of advance.

Daily and Weekly Pivot Levels

By employing the Camarilla calculation method, the Wednesday pivot levels for DJIA are presented as follows:

R1 – 18,064.29
R2 – 18,075.05
R3 (range resistance) – 18,085.81
R4 (range breakout) – 18,118.09

S1 – 18,042.77
S2 – 18,032.01
S3 (range support) – 18,021.25
S4 (range breakout) – 17,988.97

By using the traditional method of calculation, the weekly pivot levels for DJIA are presented as follows:

Central Pivot Point – 17,804.39
R1 – 18,055.21
R2 – 18,212.96
R3 – 18,463.78

S1 – 17,646.64
S2 – 17,395.82
S3 – 17,238.07