3 Meme Stocks to Buy Right Now!

meme stocks - 3 Meme Stocks to Buy Right Now!

Source: shutterstock.com/Luca Lorenzelli

It’s big-time theatre at the intersection of Main and Wall Street these days. I’m talking about those trending meme stocks which have become an unequivocally larger deal in 2021. But with the celebrity status comes a volatile battleground between bulls and bears that’s not always so clear-cut. Today, let’s look at the price charts of three meme stocks to buy without turning investors into pigs ripe for slaughter.

Stocks go up and stocks go down. Even the best and biggest aren’t immune. A fabled Apple (NASDAQ:AAPL) which controls nearly 11% of the Nasdaq is proof of that. Today and with the tech-heavy index up 8% on the year, the market’s most valuable company is down roughly 4.5%.

In some obvious and meaningful ways, the disconnect between the Nasdaq and AAPL stock is a big deal. But those up and down price performances may as well have training wheels attached to their tickers compared to the market’s meme stocks.

For those out of touch with 2021’s most high-profile investing phenomenon, a meme stock is any security witnessing excessively bullish trading by retail investors who’ve collectively conspired to drive shares higher using social media. Today and most notoriously, the muscling occurs in spots such as Reddit’s r/WallStreetBets forum and brokerage accounts at upstart Robinhood.

  • Bionano Genomics (NASDAQ:BNGO)
  • Clean Energy Fuels (NASDAQ:CLNE)
  • GameStop (NYSE:GME)

Today there’s something old, as well as something new going on. Shares of cinema giant AMC (NYSE:AMC) and headlines of free popcorn for its brash investing base have taken over the marquee as the stock soared to record highs and market cap north of $30 billion last week.

There’s also Virgin Galactic (NYSE:SPCE), Clover Health (NASDAQ:CLOV) and Workhorse (NASDAQ:WKHS) in the roles of best supporting actors. That over-the-top theater is likely over. But for a show on Wall Street which is certain to go on, let’s look at three other top meme stocks whose price charts are still ready to buy.

Meme Stocks to Buy: Bionano Genomics (BNGO)

Bionano Genomics (BNGO) rallying smartly off monthly corrective hammer bottom
Source: Charts by TradingView

The first of our meme stocks to buy are shares of Bionano Genomics. While meme stocks universally get a bad rap for being companies with little or no prospects, BNGO stock’s Saphyr genome mapping system is earning solid praise from healthcare researchers.

Widespread adoption still looks to be years in the making, but it is the type of tool which could go on to help rid the world of cancer and other diseases.

Redditors have been busy in this meme stock. And while many of those traders may have already cashed out, the monthly chart is looking quite agreeable with analyst forecasts of $12 over the next year. I don’t think it will take that long and suspect Wall Street’s sell-side may have to raise estimates.

Observably, with a confirmed hammer corrective low now in place and neutralized, as well as flattening stochastics indicator backing the price action, a rally through $12 and perhaps closer to this year’s high of $15.69 looks doable by years end.

To help capture that sort of possibility, as well as avoid other less bullish outcomes, an August $7/$11 collar combination for less than a dime over even money is a smart, risk-adjusted way to position.

Clean Energy Fuels (CLNE)

Clean Energy Fuels (CLNE) deep monthly correction aligned with candlestick buy decision
Source: Charts by TradingView

Clean Energy Fuels is the next of our meme stocks to buy. The company provides natural gas fueling solutions for commercial vehicle fleets.

Yeah, it’s not sexy like the EV market, but it’s here today and a certain bridge to greening the planet that’s not going away anytime soon.

CLNE stock has been gaining traction with Redditors this week. The buzz has helped boost shares up more than 13% for the period. However, it’s the monthly price chart that has this strategist upbeat for future gains long after those traders have hit the road.

Technically, this week’s gains have shares aligned with the high of this meme stock’s monthly bottoming candlestick formed in May off CLNE’s 62% retracement level. Ideally, I’d like to see stochastics flattening. But in an imperfect world, given its position in neutral territory and clean-looking buy point, a July $10/$16 collar looks fitting for the situation.

Meme Stocks: GameStop (GME)

GameStop (GME) monthly chart challenge of key breakout zone
Source: Charts by TradingView

The last of our meme stocks to buy is GameStop. While many new names are emerging as favorites of Redditors, GME stock is still a giant among those ranks. And today, it’s once again a formidable ally for those bulls and other investors.

Technically, June’s rally has put this meme stock on the radar as a breakout trade. As the illustrated monthly view reveals, GME shares are currently challenging key zone resistance tied to its 62% retracement level associated with its January high to February low stock cycle. The area also holds GME stock’s March high.

Along with an assist from an aligned and neutralized stochastics, the interpretation is a move through this critical area that should help launch GME shares towards a test of $500. As this meme stock is also a very heavily shorted name with short interest of nearly 30%, it’s “game on!” for GME stock today.

To position, a trade in GME is going to require deeper pockets. But if you can ante up for a round lot or two, the price of admission for the July $350/$500 collar looks good in our estimation, both off and on the price chart.

On the date of publication, Chris Tyler 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.

Chris Tyler is a former floor-based, derivatives market maker on the American and Pacific exchanges. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits.

Article printed from InvestorPlace Media, https://investorplace.com/2021/06/meme-stocks-to-buy-right-now/.

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