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Zacks Investment Ideas feature highlights: Apple and Alphabet

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For Immediate Release

Chicago, IL – June 30, 2026 – Today, Zacks Investment Ideas feature highlights Nasdaq 100 Index (QQQ - Free Report) , Apple (AAPL - Free Report) and Alphabet (GOOGL - Free Report) .

3 Reasons Investors Should Buy in July

First Pullback to 50-day Moving Average

On Wall Street, even the strongest uptrends and bull markets eventually succumb to gravity and must pullback. Rather than chasing highs like most retail investors do, "smart", big-money institutional investors often act as liquidity providers during market pullbacks and buy the dip. Rather than arbitrarily buying pullbacks, these institutional investors use moving averages to smooth out price. The 50-day simple moving average is the most optimal moving average to gauge the intermediate-term trend.

However, not all pullbacks to the 50-day moving average are created equally. The first pullback to the 50-day moving average after a correction or bear market is typically the most high-probability buy zone. For instance, the first pullback to the 50-day moving average following the COVID-19 and tariff corrections served as a phenomenal buy zone. Currently, the Nasdaq 100 Index is retreating to the 50-day moving average for the first time since emerging from the Iran War correction, offering investors a high-probability buy zone.

July Seasonally Strong

The end of June and the beginning of July is one of the strongest seasonal periods for stocks. According to Jeffrey Hirsch (@AlmanacTrader), the Nasdaq's 12-day Midyear Rally spans the last 3 days of June through the first 9 days of July and has gained 2.5% since 1985 on average and is up 78% of the time.

Meanwhile, July has been unusually strong recently. In fact, the S&P 500 Index has been higher in July for eleven consecutive years!

Market Participation Broadening

For years, one of the key arguments among bearish Wall Street analysts has been that the "Magnificent 7" stocks have artificially propped up the major market indices due to their massive market caps. Last week, Apple dragged down the index after the company announced price hikes for many of its products due to memory shortages. Meanwhile, Alphabt shares fell on news that it lost some of its top AI talent to privately held Anthropic.

Nevertheless, the market is exhibiting bullish breadth beneath the surface. Ryan Detrick (@RyanDetrick) points out that although the S&P 500 was down 2% last week thanks to the Mag 7 weakness, "more stocks are above the 20-day, 50-day, and 200-day moving averages than at the start of the week." Detrick added, "In fact, 65% of the components are above their 200-day moving average, which is the most since early March."

Bottom Line

A perfect bullish storm of seasonality, a high-probability technical pullback, and market breadth improvement is brewing for investors in July.

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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.

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