4 Top Stock Trades for Monday: New All-Time Highs Coming for Bitcoin

Top stock trades - 4 Top Stock Trades for Monday: New All-Time Highs Coming for Bitcoin

Bulls have run the market higher for three-straight days, with the S&P 500 now up almost 3.5% from Friday’s low. Now, let’s look at a few top stock trades as we head into the weekend.

Top Stock Trades for Monday No. 1: Bitcoin (BTC-USD)

Daily chart of Bitcoin chart
Click to Enlarge
Source: Chart courtesy of TrendSpider

Turning everyone’s head on Friday was Bitcoin (CCC:BTC-USD), which topped $60,000 for the first time since May.

The cryptocurrency stalled near the 78.6% retracement on Thursday, but ultimately closed over this mark. Friday’s liftoff sent it over $60,000 and now puts the high near $65,000 in sight.

On the upside, that’s the target. Above that, and we can start to talk about potential extensions and an even larger breakout. But for now, let’s wait to see how it reacts near this level.

On the downside, though, I’d love to see the 78.6% retracement area act as support, along with the 10-day moving average. Below that, and let’s see if the $50,000 to $51,000 area buoys Bitcoin.

Top Stock Trades for Monday No. 2: Marathon Digital (MARA)

Top stock trades for MARA
Click to Enlarge
Source: Chart courtesy of TrendSpider

Marathon Digital (NASDAQ:MARA) is trading in sympathy with Bitcoin, which explains its strong move to the upside.

The stock went monthly-up over $44.97, which opened the door to the 78.6% retracement near $49. Little did traders know that this level would come into play so quickly.

If MARA stock can clear $50, it opens the door to the 52-week high from April up at $57.75. Like Bitcoin, we can look at the extension levels if and when MARA stock gets there.

On the downside, however, I’d love to see the $45 breakout level hold as support on a dip. On a larger decline, keep in mind how strong the 200-day moving average has been.

Top Stock Trades for Monday No. 3: Ocugen (OCGN)

Top stock trades for OCGN
Click to Enlarge
Source: Chart courtesy of TrendSpider

Ocugen (NASDAQ:OCGN) is a name we’ve kept a close eye on over the last week or two. Its breakout over downtrend resistance put it on the fast track to $8-plus, which opened up the next level at $9.35.

The stock was able to pass $10, but couldn’t quite get to the next level at $11.05. Now pulling back hard, bulls are looking for an opportunity.

We need to see the 10-day moving average and $8 level hold as support. Below these marks, and the 200-day moving average is in play, along with a retest of prior downtrend resistance.

However, back over $9.35 unlocks the previous upside levels. Those are $10 and $11.05. Thus, let’s see if OCGN stock can maintain its bullish momentum.

Top Trades for Monday No. 4: TaskUs (TASK)

Top stock trades for TASK
Click to Enlarge
Source: Chart courtesy of TrendSpider

TaskUs (NASDAQ:TASK) has been on a monumental run since August, but after such a large rally, the stock has been a bit wobbly.

Shares came down hard from the end of September, giving us a “falling wedge” pattern (shown via the blue lines on the chart).

The stock broke up and out from this pattern, but stalled near $72. Now pulling back, bulls have an opportunity in this name. On the upside, let’s see if TASK stock can clear $72, which could open the door to a retest of the highs near $85.

On the downside, though, I don’t want to see TASK stock lose the $57.50 level and the 50-day moving average. If it does, the October low near $53.50 remains vulnerable. Below that, and a deeper correction could be underway.

On the date of publication, Bret Kenwell 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.

Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell.

Article printed from InvestorPlace Media, https://investorplace.com/2021/10/4-top-stock-trades-for-monday-new-all-time-highs-coming-for-bitcoin/.

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