Pre-market Update – Gapping Stocks ( ORCL, CAT, IBM, AAPL, WYNN )

Published on Tuesday, 07 September 2010 07:05 Written by Gerard Lerod

New York, Sep 7^th (TradersHuddle.com) – The US Stock futures were pointing for a lower open with the S&P 500 index trading 0.62% below last Friday’s close. The market is not following through the strong performance from last week and the Friday rally that materialized after a better than expected jobs number. Today investors are returning from the long holiday weekend following the global markets where renewed economic worries materialized at the start of the week.

Here is an update on notable stocks in pre-market price action.

Oracle (NASDAQ:ORCL) is trading significantly higher today in pre-market price action despite the weak market, as the company announced that Mark Hurd will be joining Oracle after resigning  from Hewlett Packard on inappropriate behavior violating company standards. Oracle said that Mark Hurd will be joining the company as a president and member of the board, reporting to CEO Larry Ellison. The company also said that Charles Phillips resigned as president and director.

Caterpillar (NYSE:CAT) is trading lower in pre-market action, with the stock 1.68% below last Friday’s close. Investors appear to be taking profits after Caterpillar stock appreciated close to 7% in the last five trading sessions. No significant catalyst is moving the stock today, just the overall market weakness. However, investors will be monitoring any economic stimulus talk from President Obama later this week, which could move the stock on a favorable direction for the bulls.

International Business Machines (NYSE:IBM) is also lower in pre-market price action, as IBM stock failed to re-take the 200 day moving average just below $128 level, which is now acting as resistance. There are no significant catalysts today, so the stock is trading on technical levels and following overall market weakness.

Apple (NASDAQ:AAPL) is lower in pre-market price action, as investors take a breather after a four day rally in the stock. Apple appreciated more than 7% in the last few trading sessions, after the company announced a new set of products including Apple TV that is there latest attempt to address the intersection of Web and TV. Apple stock has been trading on a range, between $245 and $265, with the upper range coinciding with the opening gap generated on Apple’s earnings report back in July.

Wynn Resorts (NYSE:WYNN) is lower in pre-market trading, as the stock is following the overall market weakness. There is an absence of catalysts affecting the stock this morning, so it’s trading with the overall market that is under selling pressure. The stock has been rallying for the last three trading sessions moving from $79 towards a high of $88.58 last Friday.