Stocks roared out of the gate to get 2011 off to a bullish start. The S&P 500 and the Nasdaq both closed higher by more than 1% on the day, the first trading day of the new year.
Especially noteworthy were many blue chip stocks like Apple Inc. and ^AMZN^, which were pulling back in the final days of 2010 only to find buyers back in control as 2011 begins. Many of these stocks have been noted over the past several days in our 7 Stocks You Need to Know column.
Here are 7 Stocks You Need to Know for Tuesday.
Stocks like ^AAPL^ that had been pulling back in recent days raced higher on the first trading day of 2011. Apple, for its part, gained more than 2% after a three-day pullback we highlighted in yesterday’s 7 Stocks You Need to Know.
Bounding into overbought territory below the 200-day ahead of Tuesday’s open were shares of ^HRB^ (below)
HRB has been trading below its 200-day moving average for most of 2010 and has not traded in overbought territory below the 200-day in a month.
Shares of ^ROK^ soared by more than 4%, closing back in overbought territory above the 200-day on Monday to lead the S&P 500.
Among the few, blue chip stocks pulling back on the first trading day of the year is ^MON^, which is scheduled to report quarterly earnings on Thursday of this week. Monday’s lower close marked the second in a row for the stock.
Shares of ^ERTS^ (below) have stalled after becoming exceptionally overbought near the 200-day moving average.
Up more than 6% and back in overbought territory below the 200-day on Monday were shares of ^BAC^.
Pulling back for two days in a row ahead of trading on Tuesday were shares of ^URBN^ (below).
URBN has been trading above its 200-day moving average since mid-November. The stock is at its most oversold level in a month.
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David Penn is Editor in Chief of TradingMarkets.com