Dow Jones futures inched higher Wednesday morning, while S&P 500 futures and Nasdaq futures notched slightly wider gains. Tesla (TSLA) stock raced higher in morning trade, set to hit a new 2023 high. And Netflix (NFLX) jumped after a pair of analyst price-target hikes.
X
Wednesday’s earnings reports include Dave & Buster’s (PLAY), Lovesac (LOVE), Ollie’s Bargain Outlet (OLLI) and Stitch Fix (SFIX).
Dave & Buster’s shares rallied more than 5%, as LOVE stock jumped 4% in premarket trade. Ollie’s shares advanced 7% before reversing nearly 2% lower in premarket trade. Finally, Stitch Fix surged 10% early.
Stock Market Today
Netflix shares jumped 3% Wednesday, leaning toward a new 52-week high. JPMorgan and Wells Fargo upped their price targets on Netflix stock to 470 and 500, respectively. Both maintained their overweight ratings.
Electric-vehicle giant Tesla, already sitting on an eight-day advance, rallied 3% Wednesday morning. Dow Jones tech giants Apple (AAPL) and Microsoft (MSFT) traded modestly lower ahead of today’s stock market open.
Cloudflare (NET), Dexcom (DXCM), Fortinet (FTNT) and Taiwan Semiconductor (TSM) — as well as Dow Jones stocks Cisco Systems (CSCO), McDonald’s (MCD) and Salesforce (CRM) — are among the best stocks to buy or watch in the stock market uptrend.
Arista was a recent IBD Stock Of The Day, while Tesla is an IBD Leaderboard stock. And McDonald’s was featured in this week’s Stocks Near A Buy Zone column.
Dow Jones Today: Oil Prices, Treasury Yields
Ahead of Wednesday’s opening bell, Dow Jones futures reversed early losses and rose fractionally vs. fair value. Salesforce.com led the Dow, up more than 1%.
S&P 500 futures also inched higher, and the Nasdaq 100 futures traded up 0.15% in morning action.
Among U.S. exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) traded up 0.15%, while the SPDR S&P 500 ETF (SPY) edged up early Wednesday.
The 10-year U.S. Treasury yield on Wednesday traded down to 3.68%. On Tuesday, the 10-year yield extended a win streak to three sessions.
U.S. oil prices bounced Wednesday morning ahead of the Energy Information Administration’s weekly oil inventories at 10:30 a.m. ET. West Texas Intermediate futures rose more than 1% Wednesday, around $72.50 a barrel.
Stock Market Action
The Dow Jones Industrial Average on Tuesday inched higher, while the S&P 500 rose 0.2%. The tech-heavy Nasdaq composite gained 0.4%.
Tuesday’s Big Picture column commented, “The Nasdaq composite and Nasdaq 100 are starting to look extended from their 50-day moving averages, which raises the probability of a pullback. But the same can’t be said for the S&P 500, which broke out Friday in higher volume — the same day that IBD raised its investment allocation to 60% to 80%.”
Now is an important time to read IBD’s The Big Picture column after the recent bullish change in the market’s outlook.
Five Best Dow Jones Stocks To Buy And Watch Now
Dow Jones Stocks To Buy And Watch: Cisco, McDonald’s, Salesforce
Dow Jones networking giant Cisco Systems is building a cup base with a 52.56 buy point. Keep an eye out for a potential handle, which would show an earlier entry. CSCO stock edged higher Wednesday premarket.
Dow Jones restaurant giant McDonald’s has fallen below its 10-week moving average, a bearish sign. The stock is trying to hold above the 281.67 buy point from a breakout two months ago. Gains are quickly dwindling. While the stock is near a buy point, its action suggests to avoid buying right now. Look for a more bullish rebound before considering a purchase of shares. MCD stock traded flat early Wednesday.
Salesforce rallied past alternative entries at 193.91 and 200.00 in recent weeks, according to Leaderboard analysis. Last week, shares reached the 20% profit zone from a 178.94 cup-with-handle entry, but are now pulling back. The stock may soon test its key 50-day line. CRM stock popped 1.5% Wednesday morning.
4 Top Growth Stocks To Watch In The Stock Market Rally
Best Stocks To Buy And Watch: Dexcom, Cloudflare, Fortinet, TSMC
IBD SwingTrader stock Dexcom is approaching a flat base’s 126.44 buy point after a five-day win streak, according to IBD MarketSmith pattern recognition. DXCM shares climbed 0.1% Wednesday, within striking distance of the entry.
Cybersecurity leader Cloudflare broke out last week past a 66.20 buy point in a double bottom. Shares closed Tuesday in the 5% buy area, which runs up to 69.62. NET stock was unchanged premarket Wednesday.
Monday’s IBD Stock Of The Day, Fortinet, remains above its flat base’s 69.07 buy point despite the session’s 2.4% decline. FTNT stock closed in the 5% buy zone that tops out at 72.52. Shares added 0.1% premarket Wednesday.
Chip foundry Taiwan Semiconductor bounced 0.9% Tuesday, in buy range from a double-bottom’s 95.82 buy point. The 5% buy area runs up to 100.72. TSM stock was up 0.7% Wednesday morning.
Learn How To Time The Market With IBD’s ETF Market Strategy
Best Stocks To Buy And Watch In Stock Market Rally
These are four best stocks to buy and watch in today’s stock market, including a Dow Jones leader.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| ASML | (ASML) | 683.18 | Cup with handle |
| Salesforce | (CRM) | 200.00 | Consolidation |
| Cloudflare | (NET) | 66.20 | Double bottom |
| Fortinet | (FTNT) | 69.07 | Flat base |
Source: IBD Data As Of June 6, 2023
Join IBD experts as they analyze leading stocks in the current stock market rally on IBD Live
Tesla Stock
IBD Leaderboard stock Tesla stock rallied 1.7% Tuesday, moving out of buy range beyond a double-bottom’s 207.79 buy point. Shares closed Tuesday 33% off their 52-week high.
TSLA stock looked to add to Tuesday’s gains, racing 3% higher Wednesday morning. Now working on a fourth straight weekly advance, shares are on pace to hit a new 2023 high.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks, Apple stock extended Monday’s losses, moving 0.2% lower Tuesday. Shares hit an all-time high at 184.95 on Monday. The stock continues to hold sharply above a 157.38 buy point and is out of the buy range that ran up to 165.35. AAPL stock dipped 0.2% in premarket trade Wednesday.
Microsoft shares snapped a three-day win streak Tuesday, falling 0.7%. The stock is just off Monday’s 52-week high at 338.56. Shares have reached the 20%-25% profit zone from a 276.76 flat-base buy point, so investors could take at least some profits here. On Wednesday morning, MSFT stock was down 0.3%.
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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