Dow Jones Slips As Apple Stock, Tesla Surge; These IPO Stocks Pass Buy Points

The Dow Jones Industrial Average fell amid a broad pullback, though Apple (AAPL) was fighting to stay in its buy zone. Microsoft (MSFT) also touched a buy point. EV stock Tesla (TSLA) managed to make progress, even though Chinese rival Nio (NIO) floundered.

X

IPO stocks Palantir Technologies (PLTR) and Pinduoduo (PDD) also managed to stage breakouts, though they too were coming under pressure.

Meanwhile, the cumulative number of confirmed coronavirus cases in the U.S. closed in on the 26 million mark Monday, according to the Worldometer data tracker. The total of virus-related deaths is nearing 429,000.

Nasdaq, S&P 500 Fall

The Nasdaq was the best performing major index as it reversed to a 0.3% gain. Coronavirus vaccine play Moderna (MRNA) was among the top performers with a gain of around 8%. Booking Holdings (BKNG) fared worst, falling more than 5%.

The S&P 500 was down by around 0.1%. Iron Mountain (IRM) and Kroger (KR) fared best with gains of around 9%. Expedia (EXPE) was the biggest laggard.

U.S. Stock Market Today Overview
Index	Symbol	Price	Gain/Loss	% Change
Dow Jones	(0DJIA)	30830.93	-166.05	-0.54
S&P 500	(0S&P5)	3837.77	-3.70	-0.10
Nasdaq	(0NDQC )	13586.39	+43.33	+0.32
Russell 2000	(IWM)	214.34	-0.66	-0.31
IBD 50	(FFTY)	46.25	+0.04	+0.09
Last Update: 12:06 PM ET 1/25/2021

Volume was notably higher compared with the same time on Friday. It rose more than 40% on the Nasdaq and by around 57% on the NYSE. CAN SLIM investors prefer volume to be lower on a down day.

Sectors were mixed, with more losers than winners. Utilities and consumer staples were doing best.

Small caps also faced downward pressure. After positive early action, the Russell 2000 was down around 0.3%.

Growth stocks were also clubbed lower as the bears mauled the bulls. The Innovator IBD 50 ETF (FFTY) saw gains turns to losses, falling by around 0.2%. 

Apple Stock Fights, Aids Dow Jones

The Dow Jones Industrial Average was the worst performing major index, tumbling almost 0.6%. However, it was off lows.

There was a fairly even mix of red and green, with slightly more losers.

Apple stock was fighting to remain in its buy zone. It briefly fell below its new buy point of 138.89 amid downward pressure, but rallied back. The stock has broken out of a cup base.

Apple stock had initially made progress after Raymond James upped its price target from 140 to 150. Apple earnings are due Wednesday after the close.

Microsoft passed a 228.22 buy point before reversing lower. An early entry also exists at 227.28. Wedbush Securities raised its price target from 260 to 270 Monday.

Tesla Stock Surges; Nio, GM Reverse

IBD Leaderboard stock Tesla was rising again, gaining around 2.5%. It was off highs, however. It is maintaining its current trend of trading tightly.

Tesla stock has a best-possible IBD Composite Rating of 99. Its stellar stock market performance is key. It is already up more than 25% so far in 2021.

Meanwhile Chinese EV stock Nio hit reverse gear, slipping around 1.5%. It is falling back toward a buy zone. It broke out from a 57.30 buy point in a cup base two weeks ago.

Auto giant General Motors (GM) was also falling. It slipped by around 6%. GM stock is giving up a fair portion of its gains after reaching a profit-taking zone last week.

It was up more than 20% from a 46.81 cup-base buy point, according to MarketSmith analysis. Its IBD Composite Rating has now slipped back to 87. GM stock rose strongly on a new EV business.

IPO Stocks Break Out

IPO stock Palantir Technologies broke out of a cup base with an entry point of 33.60. It has fallen back into buy zone after a strong early surge.

The data analytics provider saw its relative strength line hit a new high, which is a bullish indicator. It also recently rebounded from a pullback to its 10-week-moving average.

The recent Stock Of The Day has a Composite Rating of 60, with earnings its key weakness. Its RS Rating is a near-perfect 98.

While a new issue, Palantir is not technically an IPO stock. A direct listing of its stock was launched Sept. 30 priced at 7.25 a share.

Pinduoduo also staged a breakout from a rare ascending base pattern. However, the China stock has fallen back below its buy point of 187.80.

The e-commerce stock holds a strong, but not quite ideal, Composite Rating of 92. Pinduoduo stock went public in late July 2018.

A number of China stocks were turning in good gains Monday, including brokerage stock Futu (FUTU), NetEase (NTES) and JD.com (JD)