Dow Jones futures plunged more than 300 points in early trading on Wednesday, and then cut the decline, while S&P 500 futures and Nasdaq futures also fell. StoneCo and Netflix, supported by Warren Buffett, made headlines for these six top stocks in or near the purchase area.
As the Nasdaq Composite Index hit another record high, the coronavirus stock market continued to rise on Tuesday. In the past 22 trading days, the technology-driven Nasdaq has risen by 19. At the same time, the Dow Jones Industrial Average rose 131 points.
Advanced Micro Devices (AMD), Netflix (NFLX), supported by Warren Buffett Stone Company (STNE), TSMC (TSM), Apex Pharmaceutical (VRTX) and span (WING) In or near the new purchase area. Dow Jones stock leader apple (AAPL) and Microsoft (MSFT) rose to a record high on Tuesday.
Apple, Microsoft, Netflix and Vertex are stocks in the IBD rankings.
Dow Jones Futures
Before the stock market opened on Wednesday, Dow Jones futures fell 0.9% relative to fair value, while S&P 500 futures fell 0.75%. Nasdaq 100 futures fell 0.4% from fair value. Remember, Dow Jones (Dow Jones) futures and other overnight actions will not necessarily translate into actual trading during the next regular stock market period.
On Tuesday, the Nasdaq Composite Index rose 0.7%. The S&P 500 index rose 0.4%, while the Dow Jones Industrial Average rose 0.5%. China Trade News and President Trump’s tweets drove the rise of major stock indexes.
On Monday night, White House trade official Peter Navarro told Fox News that the U.S.-China trade agreement has been “over”. Navarro later told the media that his comment was not about the first stage of China’s trade agreement, which still exists. He said that his statement was “unfounded” and that he was referring to the loss of “trust” with Beijing.
Then, President Donald Trump tweeted, “China’s trade agreement is intact. I hope they can continue to abide by the terms of the agreement!”
Among exchange-traded funds, innovator IBD 50 (FFTY) was flat on Tuesday. The ETF of the fastest growing stock is about 7% below the 52-week high.
The Jingshun QQQ Trust (QQQ) ETF, linked to the Nasdaq 100, rose 0.85% to close at 248.84. At the same time, the SPDR S&P 500 ETF (SPY) rose 0.5% to 312.05.
In the rise of the coronavirus stock market, the high-tech Nasdaq index reached an all-time high. In the year to close on Tuesday, the Nasdaq index rose 12.9%. At the same time, as of June 23, the S&P 500 index and the Dow Jones Industrial Average fell 3.1% and 8.4% so far this year.
Coronavirus outbreaks continue to spread throughout the United States. According to the Worldometer data tracker, the cumulative number of U.S. cases diagnosed on Tuesday exceeded 2.4 million. Although new cases increase every day in the short term, the number of deaths continues to decline.
Since the global outbreak, the cumulative total of confirmed Covid-19 cases has approached 9.3 million on Tuesday, including more than 477,000 virus-related deaths.
Coronavirus stock market rebound
According to IBD’s “Big Picture”, the coronavirus stock market is still in an upward trend after rebounding from a low of March 23 three months ago. The major stock indexes confirmed that the rebound was a new upward trend on April 2.
According to Monday’s “Big Picture”, “The Nasdaq Composite Index rose 1.1% for the second time this month to close above 10,000 points. The last time was June 10, just before coronavirus concerns caused the composite index to plummet by 5.3%. At 10,056 on Monday, the Nasdaq was 10,086 inches from the record high. “
Notable stocks include top stocks among IBD’s long-term leaders. The IBD long-term leader list focuses on companies with stable revenue growth and price performance.
Coronavirus stock market ETF strategy and how to invest in a new uptrend
Buy stocks in or near the zone
In the rebound of the coronavirus stock market, six top stocks in or near the area of purchase include AMD, Netflix, StoneCo, Taiwan Semiconductor, Vertex Pharmaceuticals and Wingstop.
According to MarketSmith chart analysis, one of IBD’s 50 worthy stocks last week was Supermicro, which was $59.10 lower than the new purchase point after the failure on June 10, and 8% lower than the purchase point.
But the stock is still testing its 50-day moving average (key support level). The stock fell 1.4% on Tuesday.
AMD stock ranks seventh in the IBD 50 index. (IBD 50 is a list of leading growth stocks with strong relative price strength and first-class fundamentals.)
After Monday’s breakout, FANG’s stock leader Netflix was above the 459.07 buying point, unchanged from the 5% buying area. The 5% buying range rose to 482.02. On Tuesday, the stock fell 0.4%.
Netflix is a member of the IBD leaderboard. According to the leaderboard comment, “Netflix broke the flat base in active trading and entered the buying range. It rose from half to 3/4 on Wednesday and to full on Monday.”
Warren Buffett supports StoneCo
The IBD daily trading StoneCo broke through the 40.27 buy point on Tuesday, up 4.7%. The stock price is in the 5% buying zone, up to 42.28.
Warren Buffett (Warren Buffett) is a well-known supporter. His company Berkshire Hathaway (BRKB) holds 14.17 million shares, accounting for 8% of all StoneCo shares.
According to MarketSmith’s chart analysis, chip leader Taiwan Semiconductor (also known as TSMC) stood out in Tuesday’s “IBD 50 only stocks worth watching”. In the process of rising 1.4% on Tuesday, the stock price was about 2% lower than the new buying point.
The IBD stock check shows that TSMC stock accounts for 96 of the highest possible 99 IBD comprehensive rating, making it one of the highest ranked stocks in the chip maker industry. Comprehensive rating-an easy way to identify the fastest-growing stocks-is a combination of key fundamentals and technical indicators that can help investors evaluate the advantages of stocks.
According to MarketSmith’s chart analysis, the price of Vertex Pharmaceuticals has exceeded the buying point of 295.65. The stock price closed up 0.9% on Tuesday, and the closing price was slightly higher than the buying point.
Friday’s IBD Industry Leaders column lists the top biotech stocks and is another top stock in the IBD list.
After a strong breakthrough last Friday, chicken wing chain Wingstop is still within the consolidation range of the 131.09 buying point. The stock price fell 0.3% on Tuesday and is still in the 5% buying area, reaching a maximum of 137.64.
Wingstop was listed as the best daily stock of IBD on Friday.
The fastest growing stocks worth watching
Dow Jones leaders: Apple, Microsoft
Among Dow Jones’ top stocks, Apple’s stock price rose 3.8% on Tuesday, after raising its target price several times before, and then cutting the increase to 2.1%. The stock price hit a record high, reaching $372.38 per share.
UBS raised its target stock price from 325 to 400. Deutsche Bank increased its target stock price from 350 to 380. Baird raised its target stock price from 320 to 390.
The stock price has broken the 319.79 buy point of the handle, which provides an additional entry. Admission provides investors with an opportunity to increase their positions. At the same time, starting from the 288.35 purchase point with a handle, the stock price is located in the 20%-25% profit area.
Software leader Microsoft set a record high on Tuesday, with a gain of 0.7%. The stock price exceeds the 187.61 buy point with a handle. The 5% buying range rose to 197.
After a sharp rise in the most recent trading day, the stock’s RS line is at a new high. The RS line measures the price performance of the stock relative to the broader market.
Make sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen More information about growth stocks and Dow Jones futures.
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