Dow Jones Drops Over 600 Points on Rapid Rise in Coronavirus Infections

The Dow Jones was sold on Friday when the shares posted weekly losses. The drop was due to a rapid increase in daily coronavirus infections in some states. Texas moved to stop the reopening of its economy, causing further fear among investors.


Meanwhile, three shares on the IBD leaderboard traded in buy zones on Friday despite the market sell-off: Fortinet (FTNT) Atlassian (TEAM) and ServiceNow (NOW).

Giant dow jones Nike (NKE) sold 7.6% after the company reported earnings on Thursday night. Nike reported a surprising net loss of 51 cents a share in its fiscal fourth quarter as sales fell 38% to $ 6.31 billion. Shares of Nike, which are forming a cup base with a handle, are now seeking support in their 50-day line.

Today on the stock market, the Nasdaq compound fell 2.6%. The S&P 500 closed down 2.4% and the Dow Jones sank 2.8%. Early data showed that volume was higher on both the Nasdaq and NYSE exchanges compared to Thursday’s close.

The Innovator IBD 50 (FFTY) fell 2% on Friday. Despite some strong sales this week, the ETF still remains within a key buy zone outside of a handle cup base and 33.48 buy points.

Dow Jones today

Summary of the US Stock Market Today

Index Symbol Price gain loss % Change
Dow Jones (0DJIA) 25115.05 -730.05 -2.84
S and P500 (0S and P5) 3020.86 -74.71 -2.42
Nasdaq (0NDQC) 9815.60 -259.78 -2.59
Russell 2000 (IWM) 137.67 -34.53 -2.44
IBD 50 (FFTY) 33.72 -0.68 -1.98
Last Updated: 4:28 PM ET 06/26/2020

Dow Jones industrialists fell 730 points. Investors became very pessimistic about the reopening of the economy in cases of increased coronavirus.

According to the Worldometer data tracker, the total number of cases in the United States exceeded 2.5 million on Friday. On Thursday, new daily cases topped 40,000, setting a new one-day record. However, the rapid increase in new daily cases is contrasted with the slowdown in total deaths.

According to MarketSmith’s graphical analysis, the Dow Jones remains below a key resistance level at the 200-day moving average after being rejected on Wednesday. The S&P 500 returned to trading below its 200-day moving average on Friday. The Nasdaq compound continued to drop below the 10,000 level after hitting a record high on Tuesday of 10,221.

All 30 Dow components traded lower on Friday. Eight fell more than 3%. The biggest declines were financial stocks JPMorgan Chase (JPM) and Goldman Sachs (GS), 5.5% and 8.7%, respectively.

Actions to consider: Fortinet in the purchase area

Among the main stocks in the leaderboard, Fortinet traded within a buy zone on Friday, though the stock was down 1%.

Fortinet shares remain above support at the 10-week line. According to the leaderboard analysis, “Fortinet’s profit from the point of purchase exceeds 20%, so taking profit is an option. But it is also an industry group leader, so it makes sense to leave space for work. “

Additionally, ServiceNow fell below a recent additional entry. The stock is now retreating slightly to an additional buy point of 396.25 in a three week formation.

Follow Rachel Fox on Twitter at @foxonstocks for more market information and comments from Dow Jones.


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