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4 Top Stock Trades for Tuesday: Bitcoin, BIIB, YETI, COUP


top stock trades - 4 Top Stock Trades for Tuesday: Bitcoin, BIIB, YETI, COUP

Stocks were hit at the open on Monday, but the action didn’t really lead to much in either direction. Bulls stemmed the bleeding, but failed to meaningful bid stocks higher while the S&P 500 index hovers near all-time highs. That said, let’s look at some top stock trades for Tuesday.

Top Stock Trades for Tomorrow No. 1: Bitcoin (BTC-USD)

Top stock trades for Bitcoin
Click to Enlarge
Source: Chart courtesy of TrendSpider

Bitcoin (CCC:BTC-USD) investors aren’t getting the type of rebound they want quite yet, as the cryptocurrency has battled through plenty of volatility over the pat few weeks. While it’s well off the lows, it’s still well below its all-time high too.

Flicking through charts on Sunday night, I noticed the waning momentum in Bitcoin.

That includes its forceable break below the 200-day moving average and its inability to reclaim it. Then another rejection from the 200-day and the inability to reclaim the 10-day and 21-day moving averages. Three straight sets of lower highs don’t help matters.

Now, we’re seeing Bitcoin’s “heavy look” as it leans on uptrend support. If this level fails to buoy the stock, we could quickly see a weekly-down rotation below $34,160.

If that’s the case, we could see a test of the May low followed by support near $30,000 and the 50-week moving average.

On the upside, bulls need to see Bitcoin reclaim the 10-day and 21-day moving averages.

Top Stock Trades for Tomorrow No. 2: Biogen (BIIB)

Top stock trades for BIIB
Click to Enlarge
Source: Chart courtesy of TrendSpider

Biogen (NASDAQ:BIIB) received FDA approval for its Alzheimer’s drug, allowing the stock to erupt higher on Monday.

I’m not saying technical analysis is the only way to go when it comes to trading and investing. However, I will say that it absolutely should be a part of the process. Shares exploded up the 161.8% extension before backing off considerably from the highs. Now what other method would have allowed for such precision in hitting today’s high?

In either regard, the 161.8% extension remains the upside target to rotate through. If it does, $500-plus is the next level to watch.

On the downside, I’d like to see BIIB stock hold the $350 to $375 area. I know that’s a wide range, but that is the previous resistance zone. If the stock can find it as support, that bodes well for Biogen.

Top Stock Trades for Tomorrow No. 3: Yeti (YETI)

Top stock trades for YETI
Click to Enlarge
Source: Chart courtesy of TrendSpider

This morning I flagged a breakout in Yeti (NYSE:YETI) and shares have only gained momentum throughout the session.

The stock ripped higher off the 10-day and 21-day moving averages and went weekly-up over $89.08. The stock quickly pushed through $90 resistance, then hit new all-time highs.

From here, let’s see if we can get a real rotation and breakout higher, potentially putting the 161.8% extension and $100 area in play.

On a move lower, beware of a decline to the $89 to $90 that doesn’t hold as support. Back below this area puts the 21-day moving average in play, then the 50-day.

Top Trades for Tomorrow No. 4: Coupa Software (COUP)

Top stock trades for COUP
Click to Enlarge
Source: Chart courtesy of TrendSpider

Last but not least is Coupa Software (NASDAQ:COUP), which reports earnings after the close. The stock has really struggled since hitting new highs in February.

Shares are right back into the key $230s. Until recently, this area has been support.

On a bullish reaction, let’s see if we can get a push back above this area and up to the 50-day moving average. That can help change the tone on Coupa and hopefully put the bulls back in the driver’s seat.

On a bearish reaction, a move below the 10-day and 21-day moving average seems likely. That could put the May low in play near $219, while a close below that level could put $200 on the table.

On the date of publication, Bret Kenwell did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

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

Article printed from InvestorPlace Media, https://investorplace.com/2021/06/4-top-stock-trades-for-tuesday-bitcoin-biib-yeti-coup/.

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