The Dow Jones Industrial Average was rising even as other major indexes struggled in a mixed session. 3M (MMM) was the leading blue chip, while Apple (AAPL) fell, testing a key support line. Some gas stocks passed buy points amid the Colonial Pipeline cyberattack crisis.
Meanwhile, EV stocks were getting battered lower. Tesla (TSLA) and Nio (NIO) revesed lower, though more traditional names General Motors (GM) and Ford (F) fared better. Finally there were a number of breakouts, with Medifast (MED), Meritage Homes (MTH) and Southern Copper (SCCO) all making bullish moves.
Nasdaq, S&P 500 Lag
The tech-heavy Nasdaq was lagging badly, falling more than 2%. Chinese e-commerce stock Pinduoduo (PDD) was the biggest laggard, giving up more than 9%.
Meanwhile the S&P 500 posted a more moderate loss of 0.7%. Align Technology (ALGN) was the biggest loser here, giving up more than 7%.
The S&P sectors were mostly green. Energy and utilities were faring best, while technology was the biggest laggard.
Small caps were getting mauled by the bears, with the Russell 2000 falling around 2%. Growth stocks also struggled, with the Innovator IBD 50 ETF (FFTY) slipping almost 2%.
Apple Stock Falls, Dow Jones Rises
The Dow Jones Industrial Average was the leading major index. It managed to hit a new record high as it posted a gain of around 0.2%.
U.S. Stock Market Today Overview
Last Update: 2:58 PM ET 5/10/2021
Apple stock was among the biggest losers on the index, falling more than 2%. The move saw it test support at its 50-day moving average. Falling below this key benchmark would be a sell signal.
The relative strength line has been falling of late for Apple stock. Recent poor performance has seen its IBD Composite Rating fall to 71.
Meanwhile, blue chip conglomerate 3M led, posting a gain of more than 2%. The stock is extended after breaking out past a flat-base buy point of 187.37.
Gas Stocks Pass Buy Amid Colonial Pipeline Hack Attack
A couple of gas plays were making bullish moves. Callon Petroleum (CPE) passed a consolidation pattern buy point of 42.41. However it has retreated back below this entry.
Meanwhile Pioneer Natural Resources (PXD) broke out of a cup base. It is now just below its ideal buy point of 169.59. It has a very strong IBD Composite Rating of 93.
The stocks are rising as the Colonial Pipeline remains offline following a cyberattack.
The major supply line carries 2.5 million barrels a day. This represents 45% of the East Coast’s supply of diesel, petrol and jet fuel.
The operator took itself offline on Friday after the ransomware. Work to restore service is continuing.
The DarkSide cyber-criminal gang apologized for the attack in a public statement.
“Our goal is to make money and not creating problems for society,” it said on its website.
Tesla Stock Hits Skids
Tesla stock was falling away from the key 50-day moving average after giving up more than 5%. The stock has fallen nearly 30% from its high of 900.40.
Chinese rival Nio was also plunging, giving up around 6%. It sunk below its 200-day moving average, and is almost 50% down on its high of 66.99.
More traditional auto stocks offering EV exposure were faring better. GM stock was down less than 2% and is testing its 50-day line. Ford stock fell around 0.5%.
These Stocks Pass Buy Points
Medifast shares have charged past a cup-base buy point of 279.56. It has rocketed away from its 50-day line after posting strong earnings last week.
Medifast is Monday’s IBD 50 Stocks To Watch pick.
Meritage Homes stock is in a buy zone after passing a cup-base buy point of 117.16. The 50-day moving average has just moved above the 200-day line, which is a bullish indicator.
Southern Copper is on the cusp of breaking past a consolidation pattern buy point of 83.25, according to MarketSmith analysis. It has a perfect Composite Rating of 99.
Please follow Michael Larkin on Twitter at @IBD_MLarkin for more on growth stocks and analysis.
YOU MIGHT ALSO LIKE: