While showing some vulnerability to the downside, stocks continue to do a pretty good job of holding up amid the recent push to new highs. That said, let’s look at a few top stock trades for Thursday.
Top Stock Trades for Tomorrow No. 1: Nvidia (NVDA)
A fan-favorite, Nvidia (NASDAQ:NVDA) has been wavering lately. It ran to new highs and is one of the best-performing large-cap tech stocks over the last few months.
On Friday, it caught a strong bounce off the 10-day moving average, but just a few days later, we’re back at this mark again. Initially, Nvidia broke below it, but it has since recovered ahead of the close.
Let’s keep a close eye on the 10-day moving average, as well as Wednesday’s high and low. A move up through the high near $226 puts $230-plus in play. A move below $220 spells trouble, though.
That could put the 21-day moving average in play. Below that puts the breakout zone and the 10-week moving average in play near $208 to $210. I would love a dip-buying opportunity to this zone.
Top Stock Trades for Tomorrow No. 2: Vinco Ventures (BBIG)
Vinco Ventures (NASDAQ:BBIG) has been enjoying the last few sessions, as it explodes to new highs.
Shares burst over $6 and the $6.55 level, then accelerated even higher up to the $8 to $10 range. After chopping around, we finally got a boost up to the 261.8% extension of the current range, up near $12.30.
Fading from this area now, investors must be observant. A move below $10 opens the door down to $9.40, then $8.45. Below that puts the 10-day moving average in play.
On the upside, however, a move through Wednesday’s high puts $14 on the table, which is the 161.8% extension of the much larger range.
Top Stock Trades for Tomorrow No. 3: Visa (V)
We’ve had a solid bounce since then and for those that are trading it, I would trim some of the gains here. Additionally, the stock is struggling with downtrend resistance and the 10-day moving average.
This presents both a risk and an opportunity.
On the downside, the risk is rather obvious. If these measures hold as resistance, Visa could dip again. I would personally not take a loss on the position after booking some profits, but so long as Visa holds the 200-day moving average, it’s okay on the long side.
The opportunity comes if shares can break out over the 10-day and downtrend resistance. While it still has other hurdles — like the 21-day moving average, for instance — it gives the stock a chance to trade sideways then potentially rally from there.
Keep your options open with this one, but don’t be afraid if it rolls back over. Just trade the levels as the come — no emotion!
Top Stock Trades for Tomorrow No. 4: Lululemon Athletica (LULU)
Lululemon Athletica (NASDAQ:LULU) reported earnings after the close, and man, what has been happening to this stock?
Shares fell for the sixth-straight session on Wednesday, but appears to be bouncing back after hours. Overall, either the stock is getting the selloff out of the way now or perhaps someone knows something (or a big investor is paring down).
On the upside, we need to see Lululemon reclaim the 10-week moving average, as well as the $387 level. Above that puts the 50-day moving average on the table, followed by $400. Above $400 and the highs near $415 are in play.
On the downside, though, I want to see the 21-week moving average act as support on a move lower. Below that puts $350 and the 200-day moving average on the table.
On the date of publication, Bret Kenwell held a long position in NVDA. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.