Despite more haunting coronavirus figures over the weekend, U.S. equities continued to push higher on Monday. That said, let’s look at a few top stock trades for Tuesday.
Top Stock Trades for Tomorrow No. 1: Nvidia (NVDA)
You wouldn’t even know the coronavirus is a concern by looking at a number of stock charts. Nvidia (NASDAQ:NVDA) stock is breaking out to new 52-week highs on Monday, as bulls continue to bid the stock higher.
Nvidia shares found support in the mid-$230s, as uptrend support (blue line) continues to draw in buyers before the 20-week moving average even has a chance to buoy the stock.
Over $260, and $280 will certainly be on bulls’ radar. Above that, and the all-time high near $291 is on the table. On a pullback, see that uptrend support holds. Below puts $232 and the 20-week moving average on the table.
Top Stock Trades for Tomorrow No. 2: Advanced Micro Devices (AMD)
Like NVDA, Advanced Micro Devices (NASDAQ:AMD) also has momentum on Monday. After its massive pre-earnings rally and subsequent post-earnings pullback, it looked like AMD may be set to cool off a bit. At least enough for a test of the 50-day moving average.
Dip buyers didn’t quite get it, though, with $45 support holding strong. This, in turn, allowed AMD to reclaim the 20-day moving average. On Monday, shares are bursting higher by more than 5% off this mark, as bulls push AMD even higher.
Shares are running into the $52 level now, about where AMD ran out of gas last month. If it can push through, it opens up AMD to more upside, with traders likely targeting $55 — provided they can take it up through the prior 52-week high of $52.81.
If AMD doesn’t get through $52, though, see if the 20-day moving averages holds as support on a pullback.
Top Stock Trades for Tomorrow No. 3: Lyft (LYFT)
Lyft is rallying 7% on Monday, following Friday’s 5.3% rally. The two-day rally has launched shares over the $50 mark and newly established 200-day moving average. Remember though, while the move may seem big, this stock went public at $72 per share less than a year ago.
On the upside, the 38.2% retracement sits at $56.75, while the 50% retracement is at up $62.83. Look to see if Lyft can hold these marks on a post-earnings pop.
On the downside, I would really like to see support hold at $50. Below that, and the 50-day moving average becomes a focus, as does the 100-day moving average and uptrend support (blue line).
Top Stock Trades for Tomorrow No. 4: Slack (WORK)
Slack (NYSE:WORK) stock is bursting higher Monday, rallying more than 20% at one point during the day. Share have since retreated a bit after nearly tagging the 38.2% retracement just over $28.
So, what now?
The stock recently rallied from its strong base at $20, reclaiming all of its major moving averages. It’s now sitting just above its $26 IPO price. But, bulls will want to see WORK trade higher from here and take out the 38.2% retracement.
Above puts $30 on the table.
On a pullback where $26 doesn’t act as support, see if WORK can find its footing without giving up all of Monday’s gains and allow for an uptrend support mark to form. Below its major moving averages, and the trade is dead.