The New York stock market continued its upward trend on Tuesday.
After U.S. President Donald Trump reaffirmed the implementation of reciprocal tariffs on March 21 but announced a “flexible” approach, the market rebounded and closed higher for three consecutive trading days.
However, the day’s gains were much smaller than the sharp rise in the previous session.
Meanwhile, the M7 tech stocks, all except Nvidia, posted gains. Tesla, in particular, extended its rally for a fifth consecutive day, breaking through the $288 mark. Technical analysts noted that surpassing the key resistance level of $285 could fuel further momentum.
Three-day rally continues
U.S. stock indices have maintained their upward trajectory since March 21, albeit more tempered.
The Dow Jones Industrial Average, comprising 30 blue-chip stocks, inched up 4.18 points (0.01%) to close at 42,587.50.
The S&P 500, which reflects broader market trends, advanced 9.08 points (0.16%) to 5,776.65, while the tech-heavy Nasdaq Composite climbed 83.26 points (0.46%) to finish at 18,271.86.
The Russell 2000, tracking small-cap stocks, bucked the trend, sliding 14.00 points (0.66%) to 2,095.38.
The CBOE Volatility Index (VIX), Wall Street’s “fear index,” continued its downward trend, dropping 0.33 points (1.89%) to 17.15.
The VIX has plummeted 21% over five consecutive sessions since peaking at 21.70 on March 18.
Tesla gears up for further gains
Tesla shares rallied for the fifth straight trading day. After fluctuating within a narrow range until mid-afternoon, the stock gained momentum in late trading.
Tesla stocks surged $9.60 (3.45%) to close at $288.14.
Over the past five sessions, Tesla’s stock has skyrocketed by 28%.
Technically, additional upward momentum is expected to continue.
Tesla breached the 200-day moving average of $285, a key resistance level identified by chart experts such as Katie Stockton of Fairlead Strategies and Frank Cappelleri of Instinet.
Crossing above the 200-day moving average signals strengthened long-term momentum.
Stockton has set the next resistance target at $320.
Nvidia drops
Among the M7 tech giants, only Nvidia finished in the red.
While Tesla surged 3.5%, Apple, Microsoft, Alphabet, Amazon, and Meta Platforms posted gains.
Apple rose for the third consecutive day, adding $3.02 (1.37%) to close at $223.75, bringing its three-day gain to 4.6%.
Microsoft advanced $2.08 (0.53%) to $395.16, and Meta jumped $7.46 (1.21%) to $626.31.
Amazon climbed $2.45 (1.21%) to $205.71.
Nvidia, however, slipped $0.72 (0.59%) to $120.69, weighed down by concerns over semiconductor tariffs.
Trump Media soars
Trump Media & Technology Group (DJT), the social media company in which Trump holds about 58% of the shares, soared by nearly 9%.
The company, parent of Truth Social, announced a partnership with cryptocurrency trading platform Crypto.com to launch a series of cryptocurrency ETFs, sparking the rally.
As the Trump family continues promoting cryptocurrencies, including the launch of stablecoins by Trump’s eldest son, expectations are rising that Trump Media will use cryptocurrency as a stepping stone for growth.
DJT shares soared $1.86 (8.85%) to $22.87, though they remain down 33% year-to-date.
