The stock market was solidly higher early Thursday — but off its morning highs — as the major indexes looked to recover from Tuesday’s weakness. ADP payrolls showed that jobs in the U.S. grew by 177,000 in June, missing the 190,000 consensus estimate. Investors await the Fed Minutes due out at 2 p.m. ET. FANG stock Facebook (FB) rallied after an analyst price-target hike.
The S&P 500 and the Dow Jones industrial average moved up about 0.5% apiece. Meanwhile, the tech-heavy Nasdaq rose as much as 0.8% before trimming gains to 0.5%.
Among the Dow stocks, Apple (AAPL) rose nearly 1%, as the iPhone maker looked to regain its 50-day moving average line. Shares are in the 5% buy range from a double bottom base’s 179.04 buy point, according to MarketSmith chart analysis.
On the downside, Cisco Systems (CSCO) fell almost 1%, as the networking giant continues to shape a flat base with a 46.47 buy point. The stock is below the 50-day line.
Among the FANG stocks, Facebook looked to recoup a big portion of Tuesday’s 2.4% decline. Shares rose 1.5% after BTIG Research reiterated its buy rating on the stock, while upping its price target from 175 to 275 — a 43% premium to Tuesday’s closing price. The stock is in the 5% buy range from a 188.42 cup-with-handle entry.
Electric automaker Tesla (TSLA) added to its two-day losing streak with an over-2% decline Thursday. Shares have fallen about 16% from Monday’s intraday peak price. Now, the stock is testing its 50-day moving average line.
Inside The IBD 50
Among the top growth stocks, Micron Technology (MU) snapped back over 2%, but is still below its 50-day line. Shares are attempting to find a bottom and shape the right side of a brand-new base.
Meanwhile, Brooks Automation (BRKS) moved up 1.5%, as it continues its recent recovery. Shares triggered the 7%-8% sell signal from a cup with handle’s 34.04 buy point on June 28.
On the downside, top China stock and IPO Leader ZTO Express (ZTO) dipped about 4% in early trade. The stock is pulling back after jumping about 20% above an 18.18 buy point in late May. The stock found support at its 10-week line last week.
