It was another quiet session the stock market on Thursday, with the indices simply treading water ahead of the long holiday weekend. That said, let’s look at a few top stock trades for Thursday.
Top Stock Trades for Tomorrow No. 1: Ford (F)
Ford (NYSE:F) stock has been trading really well the last few weeks. I have said it before, but the pullback looked really constructive to me.
Shares found support around $11.25 and the 21-week moving average, consolidating the big gains from the last several quarters. With last week’s action, shares erupted over the 10-week moving average and downtrend resistance (blue line).
With this week’s move, shares cleared the 2018 high at $13.50. That move opens up the 161.8% extension on the upside near $15. If it can hold up over the $13 to $13.50 area, bulls can continue to push it higher.
On a dip, let’s see if the 10-week moving average acts as support.
Top Stock Trades for Tomorrow No. 2: Nike (NKE)
Like Ford, Nike (NYSE:NKE) has been consolidating for most of 2021. In the fourth quarter, shares broke out over $130 and ran to almost $150.
On a pullback, the stock has held the $130 area and the 10-month moving average. However, the rebound has been stymied by the 21-week moving average.
Now shares are trying to rotate over last week’s high near $137.50. If it can do that, let’s see if Nike can close the week above the 21-week moving average and push above $140 into downtrend resistance (blue line). Above downtrend resistance puts the $145 to $147 zone in play. If we can get a continued push higher, perhaps we’ll see a breakout over $150.
On the downside, though, a loss of this week’s low could put $130 back in play, along with the 10-month and 50-week moving averages.
Top Stock Trades for Tomorrow No. 3: Zscaler (ZS)
Zscaler (NASDAQ:ZS) is enjoying a great day, ripping more than 12% on better-than-expected earnings. There’s just one problem: The $200 level.
Shares gapped up and rallied right into April highs near $200. The question is, will ZS stock give bulls a monthly-up rotation over the prior month’s high or will it again act as resistance?
The current layout could set us up for a two-times monthly-up rotation in June. If it can’t break above this level, we may see the stock retreat lower, potentially putting the 50-day moving average in play.
Above $200 could open up the stock to an eventual rebound to the $225 area. If it loses too much momentum on the downside, ZS stock could fill a bulk of the gap.
Top Trades for Tomorrow No. 4: Wynn Resorts (WYNN)
Look at the setup we’ve got going in Wynn Resorts (NASDAQ:WYNN). Shares continued to hold the 21-week moving average, then this week’s strong rotation gave bulls something to feast on.
Specifically, Wynn gave bulls a multi-week rotation higher, cleared the 200-week and 10-week moving averages and hurdled downtrend resistance.
Perhaps this rotation fizzles out, but it’s not hard to imagine a rally up to the $140 to $143 area. Above that could put the $150 to $155 area in play.
On the downside, however, a move below $120 could put a test of the 10-month moving average in play.
On the date of publication, Bret Kenwell held a long position in WYNN. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.