The Dow Jones Industrial Average rallied 25 points Wednesday, as Bitcoin rebounded above $36,000 following Tuesday’s plunge. Clover Health stock plunged 20% after reversing lower, as the short-squeeze frenzy continued.
Dow Jones Today
The Dow Jones Industrial Average turned flat midday Wednesday, while the S&P 500 moved up 0.1%. The tech-heavy Nasdaq composite pared its opening gain to about 0.2% in morning trade.
U.S. Stock Market Today Overview
Last Update: 10:58 AM ET 6/9/2021
Stock Market Rally: S&P 500 Nears Record High
The S&P 500 is on the cusp of record highs, while the Dow Jones Industrial Average looked to snap a two-day losing streak Wednesday. Meanwhile, the tech-heavy Nasdaq continues to rebound from its 50-day moving average, on pace to rise for a fourth straight day Wednesday. Potential resistance looms around 14,000.
Tuesday’s Big Picture column commented, “On Tuesday, hundreds more Nasdaq stocks (2,035, according to data collected by IBD) rose than NYSE stocks did (1,563). And the Nasdaq’s advance-decline line continues to muscle higher as winners outran losers by a 5-3 ratio. IBD’s General Market Indicators page shows that the Nasdaq’s A-D line is at its highest levels since mid-March. (The indicators are on Market Trend on Investors.com and in a link below.)”
For more stock market commentary, check out IBD’s The Big Picture.
The price of Bitcoin rebounded early Wednesday, trading as high as $36,723 before paring some gains. Bitcoin traded around $36,600 in morning trade, according to Coindesk.
Bitcoin-tracking ETF Grayscale Bitcoin Trust (GBTC) jumped 5% Wednesday morning, but is still down sharply this week. The ETF is below its long-term 200-day moving average line and about 50% off its 52-week high.
Dow Jones Stocks: Caterpillar, JPMorgan
Dow Jones financial leader JPMorgan is trading in buy range above a 161.79 buy point in a flat base, according to IBD MarketSmith chart analysis. Shares fell 1.6% Wednesday morning.
Meanwhile, Caterpillar is just below a 237.88 buy point in a flat base. The 5% buy range goes up to 249.77. Shares lost about 1% Wednesday morning to fall below their entry.
Stocks To Buy And Watch: Alphabet, General Motors, InMode
General Motors declined 1% Wednesday morning, moving back to a 63.54 buy point in a cup base, according to IBD MarketSmith chart analysis. GM stock is in the 5% buy zone that goes up to 66.72.
GM stock and Alphabet were featured stocks in this week’s Stocks Near A Buy Zone column.
IBD Leaderboard stock InMode is in buy range past an 87.10 buy point in a narrow cup with handle amid Wednesday’s 0.5% fall. Leaderboard commentary noted that the new base is second stage. The 5% buy zone runs up to 91.46.
Stock Market Earnings: UiPath
UiPath dived 5% early Wednesday despite reporting better-than-expected earnings and sales results. The company said adjusted earnings for the quarter ending April 30 were 2 cents. Revenue climbed 65% to $186.2 million, said the maker of robotic process automation, known as RPA or bot software.
Last week, PATH stock triggered the 7%-8% loss-cutting sell rule from an 83.50 buy point in an IPO base.
Clover Health Skyrockets
Clover Health skyrocketed another 30% Wednesday, trading as high as 28.85 before completely erasing gains. The stock then plunged about 20% in midday trade.
CLOV stock is one of the latest short-squeeze targets on social media. More than 40% of the stock was sold short as of Tuesday, according to S3 Partners.
Tesla stock dipped 0.1% Wednesday morning, looking to rebound from Tuesday’s slight loss.
The EV giant continues to struggle at its long-term 200-day line after giving up that level last week. A new base could be forming, but the stock is far away from any new buy point.
On Jan. 25, Tesla stock hit a record high at 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 gained 0.1% Wednesday, on pace to extend a win streak to four sessions. The stock is rebounding from its long-term 200-day line, while battling to retake the 50-day line. The stock’s lagging RS line indicates significant stock market underperformance.
In early May, the stock triggered the 7%-8% loss-cutting sell rule from a 135.63 buy point.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
YOU MAY ALSO LIKE: