After a bumpy finish to a bumpy week, stocks were mixed on Monday’s open. However, it didn’t take long for bulls to find their footing and ramp the indices higher. Not everything was a winner, though. Let’s look at a few top stock trades, starting with a cryptocurrency.
Top Stock Trades for Tomorrow No. 1: Bitcoin
Bitcoin (CCC:BTC-USD) really broke down in May, but it’s had trouble finding its groove. We got a nice bounce off the $30,000 to $31,000 area earlier this month that temporarily sent it above $40,000. However, that rally could not be sustained and it’s now approaching this support area once again.
On the one hand, we have to respect this area as support until it fails. On the other hand, we can only expect it to work for so long.
If it indeed triggers another bounce, let’s see if Bitcoin can reclaim the 10-day and 21-day moving averages. Above that puts $40,000-plus in play.
A break of $30,000 and the 50-week moving average could open up a deeper decline into the $20,000 range. I don’t know if Bitcoin dips back down to the $20,000 mark, but that was a huge breakout level. A dip to that level would seem like a great long-term buying opportunity.
Top Stock Trades for Tomorrow No. 2: Plug Power
Trapped between multiple key moving averages, shares are mixed ahead of the print. At a minimum, I need to see PLUG reclaim the 200-day moving average after earnings and hold those gains. That puts this month’s high at $34.38 in play.
Above that and the $40 to $42 area could be on the table.
On the downside, shares are already leaning on $28.50 support. A break of this level as well as the 50-day moving average could put more downside pressure on the table. I don’t know if PLUG will dip to the $20 area, but just below there it finds the 21-month moving average and the May low.
Top Stock Trades for Tomorrow No. 3: Uber
Uber (NYSE:UBER) is under pressure on Monday, breaking below the 200-day moving average and last week’s low. If the dip sticks, we could be looking at more downside.
Specifically, it could put the 50-week moving average in play. Below that and $45 is in play, along with the May low near $43.
To negate Monday’s deterioration, Uber needs to reclaim the 10-day and 50-day moving averages. Above that puts $51.50 in play, as well as the 50-day moving average.
Top Trades for Tomorrow No. 4: Pinterest
Pinterest (NYSE:PINS) has been coming back to life after a brutal pullback. After all, growth stocks were caught up in a pretty painful bear market a few months ago.
After reclaiming both the 50-day and 200-day moving averages, it looked like Pinterest was going to fill that gap up near $76. However, it stopped short and is now dipping to its 10-day moving average.
For active and short-term bulls, that seems like a reasonable buying opportunity.
Below $68.75 could open Pinterest stock up to a test of the 50-day and 200-day moving averages. Back above last week’s high puts the $76 gap-fill level in play. Above that and downtrend resistance is possible (as seen in the blue line).
On the date of publication, Bret Kenwell held a long position in PINS. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.