KEY TAKEAWAYS

• The EU’s Court of Justice ruled against Alphabet’s Google, which had appealed a 2.4-billion-euro ($2.7 billion) fine for abusing its dominant position by favoring its own shopping services over those of its competitors.
• Europe’s top court upheld a 2017 European Commission decision.
• Google said it was “disappointed” with the ruling and had made changes in 2017 to comply with the Commission’s ruling.

The Court of Justice of the European Union (EU) on Tuesday ruled against Alphabet’s (GOOGL) Google, which had appealed a 2.4-billion-euro ($2.7 billion) fine for abusing its dominant position by favoring its own shopping services over those of its competitors.

Europe’s top court upheld a 2017 decision by the European Commission, the EU’s executive arm.

The Court of Justice also ruled against fellow tech giant Apple (AAPL) on Tuesday, saying it must pay a 13-billion-euro ($14.4 billion) tax bill after overturning a lower court ruling on Irish tax breaks. 

Google Says ‘Disappointed’ With Court Decision

“We are disappointed with the decision of the Court. This judgment relates to a very specific set of facts,” a Google spokesperson told Investopedia. “We made changes back in 2017 to comply with the European Commission’s decision. Our approach has worked successfully for more than seven years, generating billions of clicks for more than 800 comparison shopping services.”

Last week, the U.K.’s Competition and Markets Authority (CMA) said Google may have broken competition laws by abusing its influence and using “anti-competitive” practices in prioritizing its own ad exchange. Meanwhile, early last month a U.S. federal judge ruled that Google held an illegal monopoly on search.

Alphabet shares rose more than 1% soon after the opening bell Tuesday and are about 8% higher year-to-date.

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Shares Surged Nearly 9% in Extended Trading on Monday

Key Takeaways

• Oracle shares surged nearly 9% in extended trading on Monday after the enterprise software company posted better-than-expected fiscal first-quarter results and announced a multicloud partnership with Amazon.
• Bulls defended a retest of a prior trading range in early August before driving a rally of more than 11% from last month’s low ahead of the company’s quarterly results.
• Investors should monitor shorter-term and longer-term price targets in Oracle shares at $154 and $180, respectively, while eyeing the $145 region as a potential retracement area.

Oracle (ORCL) shares surged more than 9% in extended trading on Monday after the enterprise software company posted better-than-expected fiscal first quarter results and announced a multicloud partnership with Amazon’s (AMZN) cloud business, Amazon Web Services.

The software giant’s stock has gained around 34% since the start of the year prior to Monday’s after-hours jump, as growing demand for its cloud services, particularly in artificial intelligence (AI) applications, has powered earnings in recent quarters.

Below, we’ll take a close look at the technicals on Oracle’s chart and point out important post-earnings price levels to watch out for. The stock rose 8.9% to $152.30 in after-hours trading Monday.

Bulls Defend Trading Range Retest

Oracle shares staged a decisive breakaway gap above 12-month trading range in mid-June but subsequently retraced the move throughout most of July to the initial breakout area. However, bulls stepped in to defend this important technical level in early August before driving a rally of more than 11% from last month’s low ahead of the company’s quarterly results.

Amid the stock’s projected jump to a new all-time high (ATH) following its upbeat report, investors can forecast both a shorter-term and longer-term price target using technical analysis.

Shorter-Term Price Target

We can forecast a shorter-term price target by using the measuring principle, sometimes referred to as the measured move technique.

This works by calculating the distance between the trading range’s upper and lower trendlines and adding that amount to the June breakout point. For instance, we add $27 to $127, which projects a target of $154.

Longer-Term Price Target

Investors can predict a longer-term price target by using a bars pattern.

We do this by extracting the stock’s upward trending move from December to June and position it from last month’s swing low. Doing so projects an upside target of around $180.

Moreover, that prior advance occurred over 126 trading days, indicating that the shares could remain in an uptrend until early February if a similar move were to play out.

Key Retracement Level to Watch

During retracements or periods of profit taking, investors should monitor how the price responds to the $145 level, an area on the chart that may flip from providing prior resistance into offering future support following the stock’s projected jump above this region on Tuesday.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.

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Key Takeaways

• Shares of Palantir Technologies, Dell Technologies, and Erie Indemnity all gained Monday morning after it was announced they were being added to the S&P 500.
• Shares of firms included in the S&P 500 often get a bounce because they are purchased by investors who put their money in S&P 500 index funds.
• The companies will be replacing American Airlines Group, Etsy, and Bio-Rad Laboratories.

Shares of Palantir Technologies (PLTR), Dell Technologies (DELL), and Erie Indemnity (ERIE) all gained Monday morning after it was announced they were being added to the S&P 500 Index.

S&P Global, which operates the index, made the announcement on Friday, noting that the three would be part of the S&P 500 prior to the start of trading September 23. Shares of firms included in the S&P 500 often get a bounce because they are purchased by investors who put their money in S&P 500 index funds.

American Airlines, Etsy, Bio-Rad Being Replaced in S&P 500

The companies will be replacing American Airlines Group (AAL), Etsy (ETSY), and Bio-Rad Laboratories (BIO). American Airlines and Bio-Rad will now be part of the S&P MidCap 400 index, while Etsy will be part of the S&P SmallCap 600 index.

S&P Global explained that the changes were part of its quarterly rebalancing to ensure that each of its various indexes are “more representative of its market capitalization range.”

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Key Takeaways

• Palantir Technologies jumped in premarket trading Monday following news that the big data analytics software company will join the benchmark S&P 500 index, with the inclusion taking effect before the market opens on Sept. 23.
• The stock temporarily broke down below an ascending triangle last month, but promptly reversed above the pattern’s top trendline to form a bear trap.
• Investors should monitor key overhead chart levels in Palantir shares at $32.70 and $34.75, while eyeing important retracement levels at $29 and $25.50.

Palantir Technologies (PLTR) shares jumped in premarket trading Monday after S&P Global announced late Friday that the big data analytics software company will join the benchmark S&P 500 index, with the inclusions taking effect before the market opens on Sept. 23.

The Denver-based company’s stock, which has nearly doubled over the past twelve months through Friday’s close, has been on investors’ radar as a possible contender to gain a coveted inclusion in the blue-chip index this year as its artificial intelligence (AI) software offerings continue to drive profits. 

To join the S&P 500, a company must have reported a profit in its latest quarter and have cumulative profit over the four most recent quarters, requirements the software maker easily satisfies after reporting a profit in the past seven consecutive quarters, with its latest quarterly profit representing the largest in its twenty-year history.

Palantir shares were up 7.8% at $32.69 about 90 minutes before Monday’s opening bell.

Below, we’ll take a closer look at what the technicals on Palantir’s chart are saying and point out important price levels that investors should to watch out for.

August Bear Trap

Palantir shares broke out from an ascending triangle in early July before temporarily falling below the patten during the early August broad market selloff.

However, the stock promptly reclaimed the triangle’s top trendline, climbing to a new multi-year high in the process. The move formed a bear trap, a chart pattern that lures investors into selling or entering short positions before the market makes a prompt recovery.

Looking ahead, investors should monitor several key price levels on Palantir’s chart that will likely gain attention.

Key Overhead Price Levels to Watch

The first sits around $32.70, roughly in line with Monday’s projected opening price. This area on the chart could provide resistance near a range of similar trading levels positioned around last month’s high.

A close above this level could see the shares make a move up to the $34.75 region. We project this target using the measuring principle technique, which calculates the distance between the ascending triangle’s two trendlines in points and adds that amount to the pattern’s top trendline. ($9.25 + $25.50 = $34.75).

Retracement Levels to Watch

A pullback in the stock would likely encounter initial support near $29, a location on the chart where the price finds a confluence of support from a horizontal line linking a range of consolidation around the July high with the upward sloping 50-day moving average (MA).

Further share price weakness could lead to a retest of the key $25.50 level, where investors would likely seek entry points near the ascending triangle’s top trendline. Such a move would represent a 16% decline from Friday’s closing price.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.

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Apple Shares Have Rallied About 13% From Their August Low

Key Takeaways

• Apple shares are likely to be in focus Monday as the tech giant hosts its “Glowtime” product launch event, where it is expected to unveil its new AI-powered iPhone alongside other devices and provide further information about major software updates.
• Since bottoming out from a correction in early August, Apple’s stock has rallied around 13% leading into Monday’s showcase, raising the possibility of a sell-the-news event.
• Investors should monitor important support areas on Apple’s chart at $218, $207, and $196, while watching how the stock responds to key overhead resistance at $233.

Apple (AAPL) shares will likely be in focus Monday as the tech giant hosts its “Glowtime” product launch event, where it is expected to unveil its new artificial intelligence (AI)-powered iPhone alongside other devices and provide further information about major software updates, including Apple Intelligence-enabled iOS 18.

Since bottoming out from a correction in early August, Apple’s stock has rallied around 13% leading into Monday’s showcase, raising the possibility of a sell-the-news event. Indeed, investment bank Morgan Stanley recently pointed out that the company’s shares tend to underperform the S&P 500 on the day of an iPhone launch event, but modestly outperform the market in the following three months.

Below, we’ll take a close look at Apple’s chart and use technical analysis to identify key price levels investors should watch out for amid the iPhone maker’s biggest event of the year.

Large Price Swings After Hitting New Record High

After minting a new record high in mid-July, the stock retraced as much as 17% to an early June breakout area before spending most of August recovering a significant portion of that decline.

More recently, the price closed Friday’s session below the 50-day moving average (MA), though trading volumes remain lackluster, indicating little conviction behind last week’s weakness. Apple shares fell 0.7% to $220.82 on Friday amid a broader downturn for technology stocks.

Moving forward, investors should keep a close eye on several important price levels that could come into focus.

Key Support Levels to Watch

Initial selling could see the shares test the $218 area, a location on the chart that finds support from a trendline connecting a range of trading activity positioned around the June peak and July trough.

An inability to hold this level could trigger a fall to $207, where investors may place buy limit orders near the June 11 breakout candlestick close, an area that also closely aligns with the June pullback low.

A more significant downside move may see the stock retest last month’s low at $196, where bargain hunters could look for buying opportunities near the initial breakout area that has potentially flipped from resistance into support and also sits in close proximity to the rising 200-day MA.

Important Resistance Level to Monitor

If Apple shares catch a bid leading into this week’s event, they could initially run into overhead resistance around $233, an area where investors could look to take profits near a range of similar trading levels positioned just below the stock’s all-time high (ATH).

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.

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Key Takeaways

• Former president Donald Trump and Vice President Kamala Harris will have a chance to pitch voters on their respective economic visions Tuesday night in a televised debate.
• Trump favors steep and broad tariffs on foreign-made products, a proposal that economists say would drive up inflation. Harris prefers more limited tarriffs.
• Trump wants to extend the tax cuts he signed into law in 2017, while Harris would raise taxes on high income earners and the wealthy.

For months, Kamala Harris and Donald Trump have taken shots at each other’s economic policies. The rivals will soon have the chance to do that face-to-face in their first televised debate.

Inflation, taxes and student loan debt are some of the economic issues the two presidential candidates will likely bring up if they stick to the themes of their recent campaign speeches and statements.

The debate will be broadcast live on Tuesday, Sept. 10, at 9 p.m. Eastern time.

Inflation and Tariffs

The cost of living has risen significantly since the start of the pandemic, especially during a burst of rapid price increases in 2021 and 2022. Although inflation has simmered down since, household budgets face prices that are, on average, 21% higher than they were before the pandemic, according to the Consumer Price Index, a broad measure of prices for the things people buy.

Republican candidate Trump has repeatedly attacked President Joe Biden, as well as Harris, blaming their policies for the surge of inflation. Economists usually attribute the rise of inflation during that period to supply chain problems during the pandemic and, to a lesser extent, pandemic relief programs by Biden and former president Trump — such as stimulus checks — that put money in people’s pockets and fueled consumer demand.

Harris, a Democrat, has for her part attacked Trump’s proposed economic policies, pointing to analyses by economists at Goldman Sachs, Moody’s Analytics, and others, which projected that the Trump agenda would fuel inflation and slow economic growth.

Trump’s economic plans center around tariffs, or taxes on imports from foreign countries. Trump has called for a broad 10% to 20% tariff on all foreign goods and tariffs of 60% or higher on Chinese products. In a speech Thursday at the Economic Club of New York, Trump defended his proposal, invoking the record of President William McKinley, who was president from 1897 until his assassination in 1901. Trump contended tariffs would encourage more companies to make things in America, fueling economic growth.

Most economists say tariffs would damage the economy more than they would help, since merchants would pass the cost of tariffs along to consumers and give domestic manufacturers cover to raise prices. An analysis by the Peterson Institute for International Economics that a typical family would pay $2,600 more per year because of rising prices under Trump’s tariff regime.

Harris has proposed more limited tariffs, echoing Biden’s approach of targeting specific industries that he wanted to encourage to develop in the U.S., such as microchips and electric cars.

Taxes

The candidates are also likely to clash over taxes. One of the biggest decisions facing the next president will be whether to extend Trump’s tax cuts, which were passed in 2017 and expire next year.

Trump has promised to extend all the provisions of the Tax Cuts and Jobs Act, which simplified the tax code and lowered taxes. Tax professionals and economists have said most of the benefits from those cuts went to the wealthy.

Harris has proposed an array of tax cuts and credits, carrying forward a Biden pledge not to raise taxes on anyone making more than $400,000 a year. Her proposals include a $25,000 credit for first-time homebuyers, expanding the child tax credit to up to $3,600 per child from $2,000, and raising corporate taxes to 28% from 21%, partly reversing the Trump tax cuts.

Harris would raise the capital gains tax to 28% from 20%, a smaller increase than the nearly 40% rate Biden had proposed.

Student Loan Forgiveness

Harris has supported Biden’s program of student loan debt forgiveness for federal borrowers, which has forgiven $168.5 billion in student debt, with other proposed relief blocked or delayed by Republican-led legal challenges.

Trump has blasted Biden’s student loan policies, calling them “not even legal” in a campaign rally in June.

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KEY TAKEAWAYS

• In a speech in New Hampshire this week, Vice President Kamala Harris said she would increase the amount small businesses can deduct from taxes by tenfold.
• The Democratic presidential candidate also said she plans to increase capital gains taxes to 28%, unlike the 39.6% proposed by Biden.
• Harris also reiterated her support for a billionaire minimum tax.

Vice President Kamala Harris provided additional insights into her tax plans on the campaign trail this week.

During a speech in New Hampshire, the Democratic presidential candidate laid out plans to give tax breaks to small businesses and clarified her position on long-term capital gains taxes. She also reiterated her support for a billionaire minimum tax.

Plans To Give Tax Breaks To Small Businesses

Harris outlined a plan to allow new businesses to deduct up to $50,000 in start-up costs. Currently, Internal Revenue Service rules show start-ups can generally deduct far less—up to $5,000 in start-up costs and up to $5,000 in organizational costs.

Harris’ proposal to support small businesses also included plans to help existing small businesses by providing more low- and no-interest loans to those wanting to expand. Her plan will also ease regulations and simplify taxes by creating a standard deduction similar to how individual taxes are typically filed.

Taxing Millionaires and Billionaires

Harris also said she supports increased tax rates for millionaires and billionaires, a topic her predecessor, President Joe Biden, also campaigned on.

Harris outlined a plan to increase the tax rate on long-term capital gains for those who make $1 million or more to 28%. Currently, the highest capital gains rate is 20% and applies to consumers who make around $500,000 a year.

This separates her campaign from Biden’s—he proposed a tax rate of 39.6% for those who make $1 million or more.

Recently, Harris has been criticized for backing Biden’s proposed “billionaire tax.” This would apply a 25% minimum tax on the unrealized gains of people who own $100 million in assets or more. Critics, such as the Libertarian Cato Institute, say that the wealth tax would be “economically destructive.”

While she didn’t get into specific numbers, she did mention she would “support a billionaire minimum tax” to “ensure that the wealthy and big corporations pay their fair share.” She did, however, note that as president, she would push to “tax capital gains at a rate that rewards investment in America’s innovators, founders, and small businesses.”

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Shares Fell Nearly 7% in Extended Trading on Thursday

Key Takeaways

• Broadcom shares tumbled nearly 7% in extended trading on Thursday after the chipmaker posted fiscal third-quarter results that topped expectations but issued light revenue guidance for the current quarter.
• The stock sits positioned to break down from a symmetrical triangle pattern on Friday following the company’s weaker-than-expected sales outlook, potentially starting a new trend lower.
• Investors should monitor important lower price levels on Broadcom’s chart at $141, $120, $104, and $91.

Broadcom (AVGO) shares tumbled nearly 7% in extended trading on Thursday after the chipmaker posted fiscal third-quarter results that topped expectations but issued light revenue guidance for the current quarter. Softer spending in its broadband business and other divisions partially offsetting strength in its artificial intelligence (AI) segments.

The Silicon Valley-based chipmaker’s stock, which has surged around 75% over the past year through Thursday’s close, has benefited from growing demand for its custom chips and networking parts used by companies to power and build AI applications and infrastructure.

Below, we’ll take a closer look at Broadcom’s chart and use technical analysis to identify post-earnings chart levels that investors will likely be watching.

Symmetrical Triangle Breakdown

Broadcom shares have traded within a symmetrical triangle on declining volume since mid-June, with the price sending an ominous signal ahead of the chipmaker’s quarterly report by testing the pattern’s lower trendline.

The stock sits positioned to stage a significant breakdown from the triangle on Friday following its softer-than-expected sales outlook, potentially starting a new trend lower. Broadcom shares fell 6.7% to $142.53 in after-hours trading Thursday.

Key Lower Broadcom Chart Levels to Watch

With Broadcom shares projected to open sharply lower on Friday, investors should focus on several important price levels.

The first sits around $141, an area on the chart where the shares could find support near a horizontal line connecting a range of consolidation between early March and early June towards the end of stock’s multi-year uptrend.

A move below this level may see a sell-off down to the $120 level. Investors could view this location on the chart as a high probability buying area due to its proximity to two prominent swing lows that formed in March and April.

The next level to watch lies at $104, where the shares could encounter support near the low of an early January retracement that followed the stock’s strong performance in December.

Finally, a deeper correction may see Broadcom shares tumble to the $91 region. This level would likely attract bargain hunters looking for buying opportunities near a trendline joining multiple peaks and troughs from May to December last year.

Interestingly, this location also lines up with a measured move downside target when calculating the distance of the symmetrical triangle and subtracting that amount from the pattern’s lower trendline. ($62 – $153 = $91).

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.

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Key Takeaways

• A federal judge has temporarily blocked President Biden’s latest program to forgive student loan debts.
• The latest legal setback for the Biden administration means an uncertain future for the 30 million borrowers who stand to benefit from the program.
• The fate of the loan forgiveness program could end up in the hands of the Supreme Court, which struck down Biden’s loan forgiveness efforts last year.

A Republican-led legal battle against federal student loan forgiveness has left borrowers in a place that’s become familiar over the past few years: with their financial fates in the hands of judges.

The latest twist came Thursday when a Georgia court ordered a temporary halt to President Joe Biden’s proposal for a second attempt at broad student loan forgiveness while the case is decided. The proposal would cancel at least some of the debts held by 30 million borrowers with federal loans.

Biden and his opponents have battled over the president’s student loan programs for the past several years. Since 2021, the Department of Education under Biden has made numerous rules changes to the federal student loan system aimed at making it easier for borrowers to have their loans forgiven.

The most recent attempt at outright forgiveness targeted certain types of borrowers, including borrowers who owe more than what they did when they started repaying their loans and those who would qualify for forgiveness under existing programs but haven’t applied.

Missouri Attorney General Andrew Bailey this week filed a lawsuit in federal court seeking to block the program, which, according to a notice published by the Department of Education, was set to go into effect as soon as October. 

Student Loans Are Front In Ideological Battle

Biden and other Democrats argue that Americans should be able to benefit from higher education without being financially crushed by student debt for the rest of their lives. The administration has forgiven at least $168.5 billion for 4.8 million borrowers, including public servants, people with disabilities, and borrowers who attended for-profit colleges that were later shut down.

But while some of Biden’s efforts have succeeded, others have been felled in the courts. The biggest blow came in June 2023 when a coalition of Republican-led states, led by Missouri, got the Supreme Court’s conservative majority to strike down a Biden program that would have forgiven up to $20,000 per borrower. 

After that defeat, Biden began efforts to offer student loan relief through other means, including launching the Saving on a Valuable Education (SAVE) Plan. This plan forgives the debts of borrowers who make income-based payments for 10-25 years, depending on how much was borrowed and whether the loans were for graduate school.

The department also gave broad-based student loan forgiveness a second try through an administrative rulemaking process, resulting in the plan blocked on Thursday.

Conservatives have opposed student loan forgiveness, arguing that it’s unfair to people who already paid their loans back and that policy should instead focus on lowering the cost of college. In court, forgiveness opponents have challenged the authority of the administration to cancel loans, arguing that they shouldn’t be allowed to without Congressional legislation.

The Biden administration has argued that Congress has already authorized the Secretary of Education to cancel student debt. In defending the SAVE plan and the latest broad forgiveness program, the administration points to the 1965 Higher Education Act establishing the federal student loan program.

Future Is Uncertain For Borrowers

The lawsuit adds more uncertainty for borrowers, some of which were already affected by a previous court decision that at least temporarily blocked the SAVE repayment plan.

Some 8 million borrowers enrolled in the SAVE plan are in forbearance, with no payments required, while the legal battle plays out. Both the SAVE and forgiveness cases could ultimately be decided by the Supreme Court.

“The best advice I can give borrowers right now is to not make any drastic decisions,” said Betsy Mayotte, president of the Institute of Student Loan Advisors, a nonprofit group that advises borrowers. “This situation is truly uncharted territory and it’s going to take the Department of Education and the courts some time to work this through.”

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Shares Gained More Than 4% on Wednesday

Key Takeaways

• Tesla shares jumped more than 4% on Wednesday, bucking a broader downturn for large-cap technology stocks.
• The stock has traded within a symmetrical triangle, indicating a pause in price action before potentially making another trending move.
• Investors should watch key breakout levels at $265 and $300, while monitoring important breakdown levels at $185 and $152.

Tesla (TSLA) shares jumped more than 4% on Wednesday, bucking a broader downturn for large-cap technology stocks.

Although Tesla shares have gained around 25% over the past three months, they have remained in a holding pattern since late July as investors wait for further updates about the company’s vehicle deliveries, its eagerly-anticipated robotaxi event, and third-quarter earnings, all of which are expected next month.

Below, we take a closer look at Tesla’s chart and use technical analysis to identify important price levels to watch out for on the road ahead. Telsa shares rose 4.2% Wednesday to close at $219.41.

Symmetrical Triangle Takes Shape

After breaking out above a multi-month downtrend line in early July, Tesla shares consolidated for several weeks before reversing back below the indicator. More recently, the EV maker’s stock has traded within a symmetrical triangle, indicating a pause in price action before potentially making another trending move.

Upon a decisive breakout or breakdown from the pattern, investors should monitor several key chart levels likely to attract attention.

Breakout Price Levels to Watch

A volume-backed breakout above the triangle and multi-month downtrend line could see the shares rally up to the $265 area, where they would likely meet overhead resistance from the December and July swing highs.

Further buying could drive a move up to around $300. This area on the chart would likely encounter significant resistance from a horizontal line connecting multiple peaks and troughs from December 2021 to July last year.

Breakdown Levels to Monitor

A breakdown below the symmetrical triangle could see an initial fall to the $185 level, an area likely to encounter buying support near the neckline of an inverse head and shoulders pattern that formed on the chart between February and June.

Ongoing weakness in the stock may spark a decline down to the $152 region, an area on the chart where bargain hunters may look for buying opportunities near the April 2023 swing low, which also coincidentally sits just above the April 2024 swing low.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.

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