Alphabet & Tesla push All The Bigtech into Bearish March

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Indexes end lower as investors brace for major earnings results

After the closing bell, Tesla and Alphabet released their second-quarter performance.

Investors were especially attentive to the carmaker, looking to see if its performance has improved since the start of the year. Tesla was battered by a slew of headwinds in the first quarter, but investors have since grown bullish on the flagship EV manufacturer.

The two firms are the first of the Magnificent Seven tech stocks to release their earnings.

Unfortunately they both did not deliver strength, so it breaks the momentum to the tech rally.

Tesla shares fall nearly 9% in premarket trading after earnings miss

Tesla shares dropped in premarket trading in the U.S. after the electric car maker reported second-quarter earnings that missed expectations, as its auto business continued to face pressure.
Elon Musk’s electric vehicle company reported that automotive revenue declined 7% year on year in the June quarter to $19.9 billion, while its adjusted earnings margin also fell.
Bulls and bears have been in a grapple over the stock, with some believing the company’s core car business is under pressure, while others held hope about a future Musk has promised around autonomous driving.

Alphabet (GOOG, GOOGL) shares fall nearly 4.5% in premarket trading after earnings report

Alphabet earnings top estimates as cloud business gains steam, AI losses grow.
Google parent Alphabet reported its fiscal second quarter earnings after the bell on Tuesday, beating analysts' estimates on the top and bottom lines as its cloud businesses continue to pick up steam, topping the $1 billion mark for operating profit for the first time.

For the quarter, the company saw earnings per share of $1.89 on revenue of $84.7 billion. Analysts were anticipating earnings per share of $1.85 on revenue of $84.3 billion, according to data compiled by Bloomberg. That's a jump from the same period last year of 31% and 14%, respectively, when the company reported earnings per share of $1.44 on revenue of $74.6 billion.

Advertising revenue topped $64.6 billion versus analysts' expectations of $64.5 billion, and up from $58.1 billion last year. YouTube ad revenue, however, fell short, with the segment bringing in $8.66 billion versus expectations of $8.95 billion.

Technical thoughts

What is next? Hmm.. I think more Bulls & Bears are to run.

The main graph Nasdaq-100 Sept'24 Futures contract (NQU2024) indicates on strong Bearish Momentum.
This is all because of 50-Day SMA breakthrough, as well as breakthrough of major 3Mo old upside channel.