The Dow Jones Industrial Average briefly dropped 150 points Monday, as Bitcoin plunged on a tweet from Tesla CEO Elon Musk. Tesla stock skidded in morning trade, frustrating its attempt to find support at a critical long-term level.
Among the Dow Jones leaders, Apple (AAPL) declined 1% Monday, while Microsoft (MSFT) also moved down 1% in today’s stock market. Goldman Sachs (GS) remains in buy range after briefly giving up its buy point last week, while JPMorgan (JPM) is also in buy range after a recent breakout.
Tesla (TSLA) slid about 2% Monday. Over the weekend, CEO Elon Musk implied in a tweet Tesla might have sold or will sell its remaining Bitcoin before clarifying comments.
ASML and Microsoft are IBD Leaderboard stocks. Jefferies was Wednesday’s IBD 50 Stocks To Watch pick. Maravai was Friday’s IBD Stock Of The Day, while JPMorgan was featured in last week’s Stocks Near A Buy Zone column.
Dow Jones Today
The Dow Jones Industrial Average traded down 0.3% early Monday, while the S&P 500 moved down 0.4%. The tech-heavy Nasdaq composite dropped 0.8% in morning trade.
Split Stock Market Rally
The Dow Jones Industrial Average and S&P 500 eyed their recent all-time highs following Friday’s strong gains. Meanwhile, the tech-heavy Nasdaq remains about 5% off its record high.
Friday’s Big Picture column commented, “The stock market ended the week on a high note Friday despite disappointing retail sales data before the open. The Nasdaq composite jumped 2.3% in lower volume. But after finding support near the 13,000 level Wednesday, the index lost 2.3% for the week and is still below its 50-day moving average.”
For more stock market commentary, check out IBD’s The Big Picture.
Dow Jones Stocks: JPMorgan
Dow Jones financial leader JPMorgan is in the 5% buy zone past a 161.79 buy point in a flat base, according to IBD MarketSmith chart analysis. Shares are about 1% above the entry amid a 0.3% fall in Monday’s early action.
On May 5, Dow Jones stock Goldman Sachs broke out past a 356.95 buy point, entering a buy range that goes up to 374.80. Goldman shares gave up the entry on May 12 before retaking the entry on Thursday. The stock lost 0.5% Monday morning.
Stocks To Buy And Watch: ASML, Jefferies, Maravai
IBD Leaderboard stock ASML rebounded from its key 50-day support level on Thursday and Friday, according to IBD MarketSmith chart analysis. Shares slipped over 2% Monday, on pace to snap their two-day win streak.
Per Leaderboard commentary, “ASML is staging a bullish rebound off the 10-week line and is in buy range. It is a new half-size position.”
Wednesday’s IBD 50 Stocks To Watch pick, Jefferies, is approaching a cup with handle’s 34.52 buy point. Shares declined 1.3% Monday morning and are trying to hold above their 50-day line.
According to IBD Stock Checkup, JEF stock shows a strong 97 out of a perfect 99 IBD Composite Rating. The IBD Composite Rating helps investors easily measure the quality of a stock’s fundamental and technical metrics.
Friday’s IBD Stock Of The Day Maravai is approaching a 39.95 buy point, as the stock rebounds from its 50-day line. The stock rallied over 1% in Monday morning trade.
Tesla Stock: Musk Tweet On Bitcoin
Tesla stock skidded almost 2% Monday, giving back a part of Friday’s 3.2% climb. Shares are trying to find support around their long-term 200-day moving average.
Over the weekend, Tesla CEO Elon Musk implied in a tweet that Tesla might have sold or will sell its remaining Bitcoin. He tweeted early Monday saying, “To clarify speculation, Tesla has not sold any Bitcoin.”
The price of Bitcoin plunged, trading as low as $42,212 before paring losses. Bitcoin traded around $44,800 Monday morning, according to Coindesk. Bitcoin-tracking ETF Grayscale Bitcoin Trust (GBTC) dived about 9% in morning trade.
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 lost 1% Monday, looking to snap a two-day win streak. Shares are fighting to hold above their 50-day line.
Last week, 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.
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