Stocks pushed to new all-time highs ahead of the beginning of earnings season. That said, let’s look at a few top stock trades as we push into mid-July.
Top Stock Trades for Tomorrow No. 1: Bitcoin (BTC-USD)
Bitcoin (CCC:BTC-USD) has been meandering along, completely lacking momentum. It continues to struggle with its 21-day moving average and remains below its 50-day moving average.
Turning lower on Monday, the 50-week moving average and the $30,000 to $31,000 area remain critical. As we have pointed out before, this area has been key support.
Below that will put the June low in focus at $28,600. A move below that could create a liquidation break lower. Does that put the $20,000 area in play? It certainly could (although it doesn’t mean it will).
On the upside, we really need to see this one gain some steam via rotation. Either through a weekly-up or a monthly-up rotation and I really want to see it above the 50-day moving average.
Until then, though, don’t force any poor trades. For my style, I either need a rotation higher or a deeper pullback.
Top Stock Trades for Tomorrow No. 2: Nvidia (NVDA)
From here, I have the $825 measure in mind, followed by the $833 to $835 zone. Above that puts $850 in play, then $860, which is the 261.8% extension of the larger range.
On the downside, keep an eye on the 10-day moving average. Below puts last week’s low in play near $788. Below that and the 21-day moving average is in play.
Top Stock Trades for Tomorrow No. 3: Pinterest (PINS)
While the market hit new highs on Monday, Pinterest (NYSE:PINS) didn’t do quite as well. Instead, the stock fell about 4.5%.
However, that gave us a really clean, really simple setup. The stock is dipping down to the 10-day moving average. Slightly below is the 21-week moving average. I think PINS stock should find some support in this area, somewhere between $71.25 and $72.50.
A break of these moving averages could put the 50-week moving average in play in the mid-$60s. A rebound puts $80-plus back in play.
Top Trades for Tomorrow No. 4: SPDR Financial ETF (XLF)
I wanted to look at the Financial Select Sector SPDR Fund (NYSEARCA:XLF) as bank stocks look to kickoff earnings season. This one is interesting.
During its strong run, the 10-week and 50-day moving averages were support. Once failed, though, we saw the 50-day moving average turn to resistance and the 21-week moving average became support.
With Monday’s move higher, shares are rallying right into the 50-day.
After earnings, I want to see if the XLF can clear $37.50 and regain the highs. If it can do that, the 161.8% extension looms large near $40. On the downside, watch the 10-day and 21-day moving averages. Below puts the 21-week moving average in play. Below that, and the June low is on the table at $35.18.
Top Trades for Tomorrow No. 5: Disney (DIS)
Disney (NYSE:DIS) topped in early March and has been trending lower ever since. For weeks now, Disney has been trapped below the 10-week moving average. With Monday’s pop though, Disney is clearing this resistance level.
The 10-week moving average continues to act as support, too.
From here, we want to see Disney clear the 21-week moving average. Above that opens the door to the 61.8% retracement of the current range, up near $189. Above that, and $200 is on the table.
On the downside, keep an eye on the 10-day moving average. Below that, and the 10-month moving average is back in play, along with the $168 mark.
On the date of publication, Bret Kenwell held a long position in NVDA and PINS. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.