The Dow Jones Industrial Average closed even higher Monday as the postelection stock euphoria continued for blue-chip stocks. Elon Musk's Tesla popped while a play on his SpaceX venture rocketed. And Donald Trump's Trump Media & Technology hit resistance while a stock bought by fund manager Cathie Wood surged in the wake of a big decline.
Meanwhile, bitcoin jumped and boosted Coinbase Global past an entry. It was a day for investors to savor, as crypto exchange Coinbase's move was just one among a plethora of breakouts.
The Dow Jones industrials popped nearly 313 points, or 0.7%. The blue-chip index ended off early highs but hit a record closing high as it topped the 44,000 mark for the first time ever. The Nasdaq composite came off lows and ended the day slightly higher. Recent strong gains have propelled it to more than 6% above its 50-day moving average.
Stock Market Today: This Tech Lags, Small Caps Strong
Top performers on the tech-heavy Nasdaq composite included Grail and Fortinet, both of which jumped nearly 6%. Beaten down artificial intelligence play Super Micro Computer ended off lows for the day but still fell more than 5%.
The benchmark S&P 500 eked out a 0.1% gain, but managed to barely top the 6,000 level for the first time. Bristol Myers Squibb outperformed as it rallied nearly 11%. It popped after an experimental schizophrenia treatment from AbbVie failed in a pair of midstage studies. Albemarle was also strong.
The S&P 500 sectors closed mixed. Financials and consumer discretionary were the best performers, while real estate and technology lagged. Weakness in chip stocks was a reason for the latter area's issues, with the semiconductor fabless group coming in as the worst performer among the 197 industry groups covered by Investor's Business Daily. Auto stocks were strongest.
Small caps outperformed, with the Russell 2000 ending near highs as it popped 1.5%. Growth stocks did even better, with the Innovator IBD 50 exchange traded fund climbing 1.8%.
Cathie Wood Buys Crispr After Plunge, Stock Jumps
There are few fund managers more closely watched than ARK Invest's Cathie Wood. And she was making moves again as she positioned herself for the Trump rally.
Her ARK Innovation ETF bought 76,120 shares of Crispr Therapeutics on Friday.
As of Friday's close, Crispr stock had fallen more than 43% from its February high of 91.10. The move immediately paid off for Wood as the gene-based medicine stock rallied on Monday. While it ended off session highs, it still turned in a stout closing gain of more than 6%.
However the stock remains stuck below its 200-day moving average for now. The benchmark 200-day is also above its 50-day line. Those following The IBD Methodology look for stocks with a 50-day line above the 200-day.
Additionally, poor overall performance is reflected in its IBD Composite Rating of 32 out of 99.
Among other moves Friday, the fund snapped up 93,243 Illumina shares and 41,794 shares in Trade Desk. It also sold shares in SoFi Technologies and Unity Software.
3:16 p.m. ET
Tesla Rally Continues, Elon Musk SpaceX Play Soars
One member of the so-called Magnificent Seven play stood out from the crowd today. Tesla stock continued its recent rally and was holding the bulk of Monday's gains as it remained up around 7% heading into the close. It was off session highs, and had popped as much as 32% above a cup-with-handle buy point of 264.86.
While Tesla's IBD Composite Rating of 88 out of best-possible 99 is still not quite ideal, it has been improving. Its Earnings Per Share Rating of 77 is a weakness.
Tesla is also among the top 5% of issues in terms of price performance over the past 12 months. It is on track for its highest close since April 19, 2022, according to Dow Jones Market Data.
Meanwhile, a fund that offers exposure to Tesla Chief Executive Elon Musk's quest for the stars was soaring. The Destiny Tech100 Fund , which owns part of SpaceX, was up nearly 13% heading into the close.
The Destiny Tech100 is a closed-end fund that trades like a regular stock on the New York Stock Exchange. It is now up more than 270% from its Nov. 4 closing price of 10.91.
Its recent ascent has been parabolic, and it now sits nearly 230% above its 50-day moving average. This makes it a risky proposition.
Stock Market Today: Monday's Morning — And Afternoon — Blues
Meanwhile, Monday.com was getting a harsh spanking from the bears following its latest earnings report.
The project management software beat views by reporting a profit of 85 cents a share on an adjusted basis, up 33% from a year earlier. A 33% rise in revenue to $251 million was also better than expected.
Changes in leadership and murky outlook seemed to hit sentiment. The firm announced Yoni Osherov will step down as chief revenue officer at the end of 2024 and that it has appointed Adi Dar as chief operating officer.
"We view this as a solid beat but think the lack of Q4 guide upside is weighing on shares, especially since shares are up 45% since the last (second-quarter) print," said TD Cowen analyst Derrick Wood said in a note to clients.
The stock flashed a sell signal by crashing below its 50-day moving average amid a dive of nearly 16% heading into the close..
1:52 p.m. ET
Breakout Watch: Coinbase Clears Entry
With the so-called Trump Trade currently the talk of Wall Street, one noteworthy stock was breaking out on Monday. Coinbase stock cleared a late-stage pattern with an entry point of 283.48, according to MarketSurge analysis.
It is already extended from this buy point amid a gain of nearly 22% in afternoon trading. The stock also can be interpreted as a double bottom with a 272.55 entry.
The cryptocurrency exchange play holds a best-possible IBD Composite Rating of 99. Both earnings and, in particular, price performance are stout.
The price of Bitcoin continued to build on powerful gains following the election of Trump, who's considered more friendly to cryptocurrencies. Bitcoin was up around 5% over the past 24 hours and was trading at around $85,000 per coin, according to CoinDesk.
Outside Dow Jones: More Stocks Test Buy Points
The bullish action led to a spate of breakouts Monday. As a reminder, IBD is currently recommending 80% to 100% exposure for most investors.
Oil-and-gas machinery play Chart Industries has cleared a cup base with an ideal buy point of 171.68, according to MarketSurge analysis.
Earnings performance is a key strength here, with per-share profits seen jumping by 34% in 2025. With the stock now around 36% above its 50-day moving average, a purchase here carries elevated risk.
Aerospace play Loar cleared a bullish ascending base pattern on its weekly chart. However it has slipped back below the ideal buy point of 92.17.
Trump Stock Hits Resistance
One stock that has been making headlines of late is Trump Media, which is being seen as a pure play on the new president-elect. The Truth Social parent rallied in early trade, but met resistance as it moved closer to its 200-day moving average. It remained up around 2%.
Trump Media stock had a wild period of trading last week, ending well off its highs, and its lows, as it rose 4.4%. It is down nearly 41% from its recent high of 54.
On the other hand, since hitting a Sept. 24 low of 11.75, Trump stock has rallied nearly 180%. Nevertheless, it has a subpar Composite Rating of 46 out of 99.
Earnings also remain a weakness as the company continues to lose money. It currently holds a decidedly lackluster EPS Rating of 43 out of 99. While the price action continues to be volatile, the Trump stock now holds a gain of 85% so far in 2024.
12:20 p.m. ET
Stock Market Today: Shoe Stock Runs Past Entry
On Holding is in a buy zone after clearing a flat-base entry of 52.80. This is an early stage base for the sneaker maker.
Overall performance is strong, with its IBD Composite Rating coming in at 93 out of 99. Earnings growth is seen slowing to 8% in 2025, which is not ideal.
It comes after fellow shoe company Deckers Outdoor made it onto the IBD Leaderboard list of top stocks amid strong performance.
However, those tempted to buy now may be better holding off, because earnings are due Tuesday before the open.
Shopify is clearing a consolidation pattern with an ideal entry point of 91.57. A better buy point was at 84.37.
Overall performance is excellent, with its Composite Rating sitting at 98. However earnings are also due Tuesday for Shopify.
Mining Stocks Lag
There was noteworthy weakness among mining stocks Monday. Both the gold mining and metal ore mining groups were lagging.
The likes of Newmont flashed sell signals, with shares falling below the 200-day moving average. Former Leaderboard stock Agnico-Eagle Mines fell back below its 50-day moving average.
Among the metal miners, Freeport-McMoRan lost ground on its major moving averages amid a decline of nearly 3%.
10:46 a.m. ET
Dow Jones Today: Nvidia Stock Is Worst Laggard
The Dow Jones Industrial Average may have been positive, but it was no thanks its most high-profile new member.
Nvidia stock fell around 2% in early trade. It continues to trade in the buy zone above a 140.76 consolidation entry, MarketSurge analysis shows.
Nevertheless, the IBD Leaderboard stock has a strong IBD Composite Rating of 97, with earnings performance in particular a key strength.
Apple also lagged on the Dow as it fell nearly 2%.
In contrast, Salesforce was the top performer on the Dow Jones today as it popped more than 4%. Goldman Sachs was also strong.
Please follow Michael Larkin on X at @IBD_MLarkin for more analysis of growth stocks.
