Thursday gave investors their first real taste of volatility in a while, but it was a dip amid a bull trend. In other words, it didn’t last and the bulls were back to business on Friday. Let’s look at some top stock trades for next week.
Top Stock Trades for Monday No. 1: Netflix (NFLX)
Netflix (NASDAQ:NFLX) has not been performing well. While all the over FAANG stocks have found momentum, this one has been slow to get going. However, it’s been trading better lately.
Shares are struggling with downtrend resistance (blue line), but showing some potential going into earnings. After a nice rally higher, Netflix stock is dipping down to the 10-day moving average.
Holding that level now, the stock is rotating over Friday’s high and the June high at $536. That could set the stage for another push higher, with bulls’ attention on the $547 gap-fill level.
Above that could put $550 to $560-plus in play.
On the downside, a loss of the 10-day moving average could put the $525 area in play, then the gap-fill level in the other direction near $521.
Top Stock Trades for Monday No. 2: Snowflake (SNOW)
Snowflake (NYSE:SNOW) is garnering attention with its powerful upside breakout on Friday. With the move, shares gave bulls a daily, weekly and month-up rotation.
Coming into the $265 to $275 zone, though, bulls must pay attention. While this move looks for a longer term swing, it is possible this area rejects Snowflake.
If it does, look for a dip-buying opportunity at the newly-established 200-day moving average, followed by the $256 level.
On the upside, $300 is the next area of focus, followed by the $325 to $330 zone. Above that is the 61.8% retracement near $335.
Top Stock Trades for Monday No. 3: Levi Strauss & Co. (LEVI)
Levi (NYSE:LEVI) was in focus on Friday thanks to earnings, although the stock failed to maintain all of its gains on the day.
The stock continues to struggled with the $29.50 to $30 area, although LEVI is above all of its major moving averages on the weekly chart. Keep an eye on the 10-day and 21-day moving averages. Below those measures puts the $24.50 level back on the table.
On the upside, look for a close over $30. Above $30 puts the all-time high in play at $30.84. Above $31 and perhaps $34 is possible.
Top Trades for Monday No. 4: Twilio (TWLO)
Growth stocks have been on a comeback, and that includes Twilio (NYSE:TWLO). Shares were struggling with the $400 level coming into Thursday, then the stock was hammered below the 10-day moving average.
However, it rallied off the lows that day, then reclaimed that moving average on Friday. Historically, when Twilio reclaims its 10-day moving average, it bodes well for bulls in the short-term.
I’m looking for Twilio to climb back to $400. If it can clear it, let’s see if it can climb to the $415 area. Above that and the $435 to $440 area may be in play.
On the downside, look for a break of the 10-day moving average. That could put this week’s low in play, along with the 21-day moving average.
On the date of publication, Bret Kenwell held a long position in TWLO. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.