4 Top Stock Trades for Friday: GOGO, JMIA, RKT, DOCU

top stock trades - 4 Top Stock Trades for Friday: GOGO, JMIA, RKT, DOCU

After a horrible Monday, a strong Tuesday and a bit of a recoil on Wednesday, tech stocks posted more gains on Thursday. Plus the other indices hit new all-time highs. With all of that in mind, let’s look at a few top stock trades as we near the end of the week.

Top Stock Trades for Tomorrow No. 1: Gogo (GOGO)

top stock trades for GOGO
Click to Enlarge
Source: Chart courtesy of TrendSpider

Gogo (NASDAQ:GOGO) has been all over the place. After the company reported earnings, shares opened slightly higher, then rocketed higher by more than 14% at one point.

However, if you took too long getting another cup of coffee, you came back to see Gogo down notably on the day.

Now trading into the 100-day moving average and a general support area, longs are loading up and looking for a post-earnings rebound. Should they get it, let’s see if Gogo can reclaim the 50-day moving average and push back above $13.

A break of the lows could put the $9.50 area in play, followed by the 200-day moving average. Although, at this point, the latter seems unlikely — short of a larger market-wide correction).

Top Stock Trades for Tomorrow No. 2: Jumia (JMIA)

top stock trades for JMIA
Click to Enlarge
Source: Chart courtesy of TrendSpider

Don’t forget about the volatile growth stock, Jumia (NYSE:JMIA). The stock tumbled into the low $30s, falling in 14 of 17 trading sessions before bottoming.

Shares broke below the 100-day moving average, found support near $33 and quickly reclaimed the former moving average.

Now, though, it’s up 55% from the lows and 45% from Monday’s close. Furthermore, it’s rallying right into the 50-day and 21-day moving averages. Of course, the rally could continue. However, it wouldn’t surprise me to see this one back off a bit.

If it continues higher, see if it can clear $50, then $55. Below $46.65, and a test of the 10-day moving average could be in play — followed by $41.50.

Should it dip below all of these levels, see if the 100-day moving average buoys the stock.

Top Stock Trades for Tomorrow No. 3: Rocket Companies (RKT)

top stock trades for RKT
Click to Enlarge
Source: Chart courtesy of TrendSpider

I talked about Rocket Companies (NYSE:RKT) recently, outlining the setup a day before the stock ripped over $40. Could it be setting up for another run?

Obviously, a run back above $40 would be great. However, that’s not exactly something we should expect (and it’s not what I was expecting the first time, either).

However, the stock has had plenty of opportunity to break back below former resistance at $24. So far, it has held that level as support, while finding the 61.8% retracement near $28 to be resistance.

Overall, let’s keep an eye on this one. If we can get some sort of daily- or weekly-up rotation, we could have another rally on our hands. Specifically, the stock needs to clear the 61.8% retracement and Thursday’s high of $28.68.

Above could put $30-plus in play, followed by the August high above $34.

On the downside, though, be cautious on a break below $24.

Top Trades for Tomorrow No. 4: DocuSign (DOCU)

top stock trades for DOCU
Click to Enlarge
Source: Chart courtesy of TrendSpider

DocuSign (NASDAQ:DOCU) reported earnings after the close. And like other growth stocks, DocuSign has experienced a strong bounce off the recent lows.

The stock’s recent bounce came near the 50-week moving average and at range support. The latter comes into play in the mid-$180s, and has been in play since the summer.

Now bouncing, we are left in a tough spot. With these earnings, DocuSign either needs to reclaim some of its key moving averages overhead — like the 50-day moving average — or it needs to avoid making a new low on the downside.

In particular, holding the 200-day moving average would be a big boost for bulls, but above $200 is good too. Let’s see how the stock shakes out after earnings. It needs to hold above $185. A close below is not good.

On the date of publication, Bret Kenwell held a long position in GOGO.

Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell.

Article printed from InvestorPlace Media, https://investorplace.com/2021/03/4-top-stock-trades-for-friday-gogo-jmia-rkt-docu/.

©2022 InvestorPlace Media, LLC