As earnings season heats up, NYSE Insider Jay Woods highlights the importance of upcoming reports from IBM, ServiceNow, and Intel. IBM is set to release its earnings on Wednesday after a dramatic 25% drop following a disappointing preliminary report. Woods suggests that a relief rally could occur if IBM recovers some losses.
ServiceNow, also reporting on the same day, has seen a 30% decline this year but could rebound if it delivers strong results, especially as it hovers around its 50-day moving average of $103. Woods notes that significant rallies often happen below the 200-day moving average, which for ServiceNow is near $128.40.
Finally, Intel's earnings report on Thursday is crucial as the stock has fallen over 30% since late June. Woods believes that if Intel exceeds expectations, it could also see a rally, with its 50-day moving average at approximately $117 serving as a key level to watch