The Dow Jones Industrial Average reversed lower Wednesday, as private payrolls data missed estimates. Apple stock jumped to new highs. And CrowdStrike earnings were better than expected.
Among the Dow Jones leaders, Apple (AAPL) rallied almost 2%, while Microsoft (MSFT) moved up 0.5% in today’s stock market. Home Depot (HD) remains below a new buy point after a recent breakout attempt.
Tesla (TSLA) looked to extend a win streak to four sessions, rising 0.2% Wednesday morning. The EV leader is now at the top of its buy range. PayPal (PYPL) rose 0.1% Wednesday following Monday’s bullish retake of its key 50-day moving average. A new buy point has emerged.
After the close Tuesday, CrowdStrike (CRWD) reported better-than-expected Q2 earnings results. CrowdStrike stock slid more than 2% in midday trade.
Airbnb, Microsoft and Tesla are IBD Leaderboard stocks. Academy Sports is an IBD IPO Leader. Palantir was featured in this week’s Stocks Near A Buy Zone column. Airbnb was Tuesday’s IBD Stock Of The Day.
Dow Jones Today: Jobs Data
The Dow Jones Industrial Average reversed from opening gains to fall 0.1% midday Wednesday. The S&P 500 moved up 0.2%. The tech-heavy Nasdaq climbed 0.7% in morning trade.
U.S. Stock Market Today Overview
Last Update: 10:34 AM ET 9/1/2021
Ahead of the market open, ADP said private payrolls rose just 374,000 in August, well below the Econoday consensus estimate of 500,000. On Friday, the Labor Department will release its closely-watched nonfarm payrolls report.
Among exchange traded funds, the Innovator IBD 50 (FFTY) was up 0.7% Wednesday. Nasdaq 100 tracker Invesco QQQ Trust ETF (QQQ) moved up 0.6% Wednesday. Meanwhile, the SPDR S&P 500 ETF (SPY) rose 0.2%.
Stock Market Rally Continues
The Nasdaq hit more record highs Wednesday morning, while the S&P 500 and Dow Jones Industrial Average remain just off their own all-time highs.
Tuesday’s The Big Picture column commented, “The Nasdaq’s monthly gain soundly beat rises of 2.9% for the 500, 2.1% for the Russell 2000, and 1.2% for the Dow Jones Industrial Average. And perhaps if it weren’t for the solid gains by tech components within the 30-stock blue-chip index, the Dow likely would have rallied less than that.”
For more stock market commentary, check out IBD’s The Big Picture.
Dow Jones Stocks To Buy And Watch: Home Depot
Dow Jones leader Home Depot is trying to break out past a cup-with-handle’s 333.55 entry, but currently sits just below the buy point, according to IBD MarketSmith chart analysis. The 5% buy area goes up to 350.23.
Shares were down 1.1% Wednesday.
After the close Tuesday, CrowdStrike reported second-quarter earnings and revenue that topped analyst estimates. CrowdStrike’s earnings came in at an adjusted 11 cents a share, up 266% from a year earlier. Revenue jumped 70% to $337.7 million, including acquisitions, the company said.
CrowdStrike stock skidded over 2% in midday trade.
Stocks To Buy And Watch: Academy Sports, Airbnb, Mercado Libre, Palantir
IPO Leader Academy Sports is still in buy range past a 42.85 buy point in a cup base following this week’s retake of the entry. The top retail stock tacked on 0.5% Wednesday. The 5% buy zone tops out at 44.99.
Academy Sports was featured in last week’s IPO Leaders column.
IBD Leaderboard stock Airbnb is in buy range above its 152.86 buy point. Leaderboard’s analysis noted that the stock’s breakout last week came with conviction and strong volume, hallmarks of positive action. Shares rallied over 2% Wednesday.
According to IBD Stock Checkup, ABNB stock shows a modest 27 out of a perfect 99 IBD Composite Rating. Newer issues rarely have a sustained earnings track record — which is a key component of the Composite Rating — so a weak rating is normal. The IBD Composite Rating identifies stocks with a blend of strong fundamental and technical characteristics.
Airbnb was Tuesday’s IBD Stock Of The Day.
Mercado Libre advanced nearly 2% Wednesday, trading right at a cup-with-handle‘s 1,899.43 buy point. MELI stock briefly topped the buy point in Monday trade.
Palantir Technologies is just above a cup-with-handle’s 26.04 buy point, according to IBD MarketSmith chart analysis. Shares lost 0.5% Wednesday and are in the 5% buy area that tops out at 27.34. The stock’s relative strength line remains far from its old highs. Ideally, the RS line should hit a new high on the breakout day.
Check out Palantir in this week’s Stocks Near A Buy Zone column.
PayPal stock rose 0.1% Wednesday, but remains above its 50-day moving average line.
Shares of the payment processor are tracing a flat base with a 310.26 buy point. The stock is about 7% away from the new entry.
Tesla stock rose 0.2% Wednesday, on pace to add to Tuesday’s 0.7% rise and extend a win streak to four sessions. Last week, shares regained their 700.10 aggressive buy point deep inside a correction and are at the top of the buy range that runs up to 735.11. Meanwhile, a deep, large base continues to take shape.
On Jan. 25, Tesla stock hit a record high of 900.40, after climbing as much as 93% from a 466 buy point in a cup-with-handle.
Dow Jones Leaders: Apple, Microsoft
Among the top Dow Jones stocks, Apple moved up almost 2% Wednesday, rallying to new highs. Apple shares are in buy range above a 148 trendline buy point.
Software giant Microsoft rose 0.5% Wednesday. Shares are about 15% above a cup base’s 263.29 buy point and near new highs.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
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