Stocks Slip To Red After Strong Up Move At The Open

By Paul Whitfield, Investor’s Business Daily

Stocks posted their highs in the first minutes of trade Monday and then slid the rest of the session.

The Nasdaq fell 0.3% after being up as much as 0.5%. The S&P 500 dropped 0.5% while the NYSE composite slid 0.4%. The small-cap Russell 2000 edged down less than 0.2%.

Volume was down on both major exchanges.

The chart action was generally negative. The Nasdaq and the S&P 500 were both turned south after trying to retake their 50-day moving averages. The NYSE composite, however, held above its 50-day line.

Among IBD’s 197 industry groups, five groups fell for every two that rose. The day’s best performers had a conservative bias — diversified operations and dairy products. The worst performer was the RV-manufactured housing group.

On the IBD 50, a proxy for leading stocks, losers led winners by a roughly 3-to-2 ratio.

Two manufacturers of 3D printers dived in strong trade. Stratasys (SSYS) plunged 4.90 to 70.05 in heavy volume, while 3D Systems (DDD), a member of the Computer Software-Security industry group, skidded 2.12 to 42.59 in heavy volume.

There was no specific news associated with the declines.

On the upside, Qihoo 360 Technology (QIHU) jumped 2.45 to 27.44 in huge volume. The stock touched a new 52-week high.

Companies that will report quarterly results Tuesday include luxury homebuilder Toll Brothers (TOL) and, before the market’s open, AutoZone (AZO).

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