The Dow Jones Industrial Average rose more than 200 points on Wednesday, with Treasury yields exceeding initial lows. The shares of EV’s Tesla giant reversed down amid Bitcoin news, while GME’s shares plunged with profits.
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Among Dow Jones leaders, Apple (AAPL) fell 0.7% Wednesday, while Microsoft (MSFT) fell 0.6% in today’s stock market. Boeing (BA) is back in the buying range after a recent disruption.
Tesla (TSLA) reversed downwards amid Bitcoin news on Wednesday. Dow Jones Giant Chip Intel (INTC) briefly increased spending plans for two new chip factories.
GameStop (GME) fell more than 18% after the company’s earnings results on Tuesday.
Among the main actions to be observed, leaders in records Applied Materials (AMAT), ASML (ASML), MKS Instruments (MKSI), Nvidia (NVDA) and Qorvo (QRVO) are showing leadership potential in the current stock market rally.
About that, Alphabet (Google Wayfair (W) are in or near buying zones. Alphabet was featured in this week’s Stocks Near A Buy Zone column, while Wayfair was Monday’s IBD 50 Stocks To Watch choice.
Alphabet, Microsoft and Nvidia are shares of the IBD Leaderboard. MKS Instruments was an action of the recent IBD day.
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Dow Jones Today: Treasury Yields
The Dow Jones Industrial Average was up 1%, while the S&P 500 was up 0.6%. The high-tech Nasdaq compound fell 0.2% in morning trading after reducing some losses.
The 10-year Treasury yield rose to 1.644% on Wednesday, after falling to a low of 1.594% in morning trading.
Among the exchange-traded funds, Innovator IBD 50 (FFTY) traded down 0.6% on Wednesday. The Nasdaq 100 Invesco QQQ Trust (QQQ) fell 0.3%. Meanwhile, the SPDR S&P 500 ETF (SPY) was up 0.5%.
Stock market rally: Nasdaq tests key level again
Amid the current stock market recovery, the Dow Jones Industrial Average and S&P 500 fell sharply on Tuesday.
Meanwhile, the high-tech Nasdaq has crashed as it continues to see resistance around its 50-day moving average line. Nasdaq will need to overcome this important obstacle to maintain its upward trajectory. The 50-day line is a critical level of potential resistance. If Nasdaq eliminates it decisively, then new highs may be on the horizon.
IBD’s market outlook was raised to “confirmed upward trend” on March 10, with the Dow Jones Industrial Average setting new highs.
Tuesday’s Big Picture commented: “The rotation in the stock market continued today. But this time, investors fled small caps and returned to safe-haven Treasury bonds in the long run. Oil suffered one of its worst days in months. ” For daily comments on the stock market, check out IBD’s Big Picture.
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Dow Jones shares: Boeing
Within the Dow Jones Industrial Average, Boeing is just above a 244.18 point of purchase on a canopy basis. The 5% buying zone rises to 256.39.
The shares rose 2% on Wednesday, at a pace to burst a four-day losing streak.
Dow Jones News: Intel
Dow Jones chip giant Intel slashed earnings to about 1.4% on Wednesday morning. The stock skyrocketed shortly after the company announced it would spend $ 20 billion on two major chip factories in Arizona.
Intel’s stock rose above 63.64 buying points in a cup with a handle after a recent breakup, according to an analysis of the IBD MarketSmith chart.
Chip stock to watch: applied materials, Nvidia
Chip stocks rose on Wednesday with news from Intel and remain some of the technology’s best names in the current stock market recovery. The VanEck Vectors Semiconductor ETF (SMH) was a new addition to the IBD SwingTrader amid a 2.3% increase on Monday. The ETF fell 0.9% on Wednesday morning.
Applied Materials continues to recover from its 50-day support level. The stock jumped 6% on Wednesday to hit a new high.
ASML bounced back above its 50-day line on Monday and added another 5% on Wednesday. The shares are in the sixth week of a potential basis. The minimum length of a cup base is six weeks, so a new point of purchase may appear at the end of the week.
Qorvo found support on his 50-day line in recent sessions. The stock is closing at a buying point of 191.93, while an early entry exists at 185.96. As of Wednesday morning, Qorvo’s shares were up 0.4%.
MKS Instruments’ recent IBD stock is just below its 177.46 point of purchase on a double bottom amid Wednesday’s 5% gain. The 5% buying zone rises to 186.33.
According to the IBD Stock Checkup, MKSI shares have a perfect rating of 99 IBD Composite. IBD Composite Rating helps investors easily measure the quality of a stock’s fundamental and technical metrics.
Chip giant Nvidia fell nearly 1% on Wednesday. The manufacturer of the graphics chip may be forming the right side of a new base, but it is a little early for a conventional point of purchase. A strong day to recover the 50 day line would be optimistic for the prospects for the action.
Stocks near shopping areas: alphabet, Wayfair
IBD Leaderboard Alphabet’s shares completed a fixed five-week base on Friday, creating a new point of purchase at 2,145.24, according to the analysis of the IBD MarketSmith chart. The shares are about 6% below the new entry. GOOGL’s shares were up 0.7% on Wednesday.
According to the Leaderboard comment, “Alphabet has made better progress than other large companies recently. Support on the 21-day line is defining the chart’s current action. The last base was the second stage.”
Monday’s IBD 50 Stocks to Watch choice, Wayfair, is trying to exceed a 343.09 point of purchase in a cup with a handle. The shares fell 2% on Wednesday and are below the point of purchase.
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GME Stock Dives On Earnings
GME’s shares plunged 18% after management abruptly ended a post-profit conference call on Tuesday. GameStop missed fourth-quarter estimates, but reported strong product sales early in the first quarter.
On January 28, GME’s stock rose to 483, before plummeting in February. The stock rebounded to 348.50 in March, but closed on Tuesday at 18.75.
Tesla Stock
Tesla’s shares fell slightly on Wednesday morning, looking to increase Tuesday’s 1.2% loss. Early Wednesday, CEO Elon Musk tweeted, “Now you can buy a Tesla with Bitcoin.”
Tesla’s stock ended Tuesday with a 26% discount on its 52-week high. Tesla’s shares may be forming a new basis, but it is too early for a new ideal risk buying point.
On February 22, Tesla broke its 10-week moving average mainline, a critical support level. On January 25, Tesla’s shares reached a record high of 900.40, after climbing up to 93% from a 466 point of purchase in a glass with handle.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones’ top stocks, Apple fell 0.7% on Wednesday, threatening to increase its 0.7% loss on Tuesday. Apple’s shares are recovering from their 40-week long-term line and may soon try to recover their 10-week line.
On February 18, Apple’s stock triggered the 7% -8% loss-of-sale rule when it fell more than 7% below its 138.89 point of purchase in a glass with handle.
Meanwhile, software giant Microsoft fell 0.6% on Wednesday, but remains above its 50-day keyline. The stock is again above its 232.96 point of purchase and approaching a 246.23 point of purchase on a new flat basis.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more information on growth stocks and the Dow Jones Industrial Average.
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