Stocks enjoyed another day of gains on Thursday, as investors continue to wait for the final results from the election. That said, let’s look at a few top stock trades going into the end of the week.
Top Stock Trades for Tomorrow No. 1: Nio (NIO)
Nio (NYSE:NIO) stock continues its powerful move higher. Let’s take a minute to simply appreciate this rally. Nio’s problems started before Covid-19, with shares bottoming at $1.32 in October 2019. Since then, the stock has now rallied 3,250% after eclipsing $40 on Thursday.
Lately, the momentum has been robust with this one. In a series of bullish consolidations and breakouts, we’ve now seen the share price explode. Nio is up more than 38.5% this week alone.
Amid that move, the stock has taken out its 261.8% and three-times range extensions. That leaves its 361.8% extension in play up at $46.81, followed by $50.
On a dip, see that the 20-day moving average continues to hold as support.
Top Stock Trades for Tomorrow No. 2: Aurora Cannabis (ACB)
Cannabis stocks have taken a beating this year, and specifically over the last few months. Now, they’re trying to mount a comeback.
Aurora Cannabis (NYSE:ACB) ended the day on Thursday up more than 41%. Importantly, it is reclaiming the 20-day moving average and the $5.50 area.
However, it’s struggling with the 50-day moving average and the $6.25 area. If shares can clear this zone, see if ACB stock can close above downtrend resistance (blue line) currently near $6.75. Above that and we could see a squeeze higher.
On the downside, though, I don’t want to see ACB lose $5.25. Below puts the 20-day moving average back on the table.
Top Stock Trades for Tomorrow No. 3: Tilray (TLRY)
Tilray (NASDAQ:TLRY) is a similar situation to Aurora, although the stock has been trading better. Shares bottomed in late-September and put in a higher low last month. That was constructive although hardly convincing after such a disappointing fall.
In any regard, we’re seeing more strength now. Shares are above the 20-day and 50-day moving averages, and are also clearing a key level at $7.
Above there now, the 200-day moving average and $9 are on the table. Above that and a squeeze up toward the $10 to $11 area is possible.
However, back below $7 puts the 20-day and 50-day moving averages in play, followed by a test of prior downtrend resistance and/or the September lows, whichever comes first.
Top Stock Trades for Tomorrow No. 4: Upwork (UPWK)
While Tilray and Aurora are both up huge on the day, both trail Upwork (NASDAQ:UPWK), which was up more than 53% at one point on Thursday. And ending Thursday up “just” 43%, it’s still a huge win for the bulls.
Bulls had a great surge followed by a perfect three-week dip to the 10-week moving average ahead of earnings. Then, this week’s wrath was unleashed on the bears. It sent UPWK stock up through the prior highs, an area that bulls now want to see hold as support on any dips.
That’s the $24 to $26 area, and I would certainly expect it to be support given the strength of this move.
As measured from the 2020 low to the 2019 high, the 138.2% extension comes into play at $32.59. The 161.8% extension can be used for a longer term target, at $37.27, should UPWK stock push through the 138.2% extension.
On the date of publication, Bret Kenwell did not have (either directly or indirectly) any positions in any of the securities mentioned in this article.