It was a quiet session in the stock market on Tuesday, likely as investors tried to position for what’s a busy week. We have an FOMC announcement on Wednesday, along with the start of earnings season. Plus it’s options expiration week. So, with all of that in mind, let’s look at a few top stock trades.
Top Stock Trades for Tomorrow No. 1: Ford (F)
The auto stocks remain strong, and Ford (NYSE:F) is the latest example. After two rejections from the $14.75 level and a reset to the 10-day moving average, Ford exploded over this measure and the 61.8% retracement.
That was followed by a move above $15, along with a weekly-up rotation on Tuesday. From here, I want to see Ford continue to push higher, while using the 10-day moving average as support.
With the 10-day moving average, it would be nice to see Ford stay above the $14.75 to $15 area.
On the upside, I’m looking for $16, followed by the high at $16.45.
Top Stock Trades for Tomorrow No. 2: Coinbase (COIN)
Coinbase (NASDAQ:COIN) has tried to break out to the upside a few times. Instead of breaking out, though, the stock gave bulls a lower high.
With Monday’s rejection from downtrend resistance (blue line), Coinbase could be working on a second lower high.
For now, it’s holding the 50-day moving average and I would like to see that continue. If it can push up through the $256 level, it’s followed by downtrend resistance. Above that opens the door to the $280 area.
On the downside, however, a break below the 21-day moving average puts the $255 level in play. That level was strong support in September. Near that area also puts uptrend support in play. Below that could put the $210 to $212 area on the table.
Top Stock Trades for Tomorrow No. 3: CrowdStrike (CRWD)
In late-August, CrowdStrike (NASDAQ:CRWD) put together a very impressive rally. The stock rallied in nine-straight sessions, hitting all-time highs in the process. Shares also broke out over $270 resistance.
However, on the ensuing pullback, shares failed to hold the $250 area as support, as well as several key short-term moving averages.
After wavering on uptrend support, CRWD stock is firming up and has now broken out of its falling wedge pattern.
On the upside, look for a move over the 50-day moving average. That puts $270 resistance in play, followed by the high near $289.
On the downside, though, conservative bulls may use this week’s low as their stop. More aggressive traders will likely use this month’s low.
Top Trades for Tomorrow No. 4: Micron (MU)
Micron (NASDAQ:MU) has been ensnared in a nasty downtrend since topping out near $95 earlier this year.
The $75 area was support at one time, but that turned to resistance amid the fall. The stock has now cracked below last month’s low — giving us a monthly-down rotation — and failed to hold the $68.80 area.
The only real measure that stands between here and the gap-fill mark at $58.19 is the 21-month moving average.
For aggressive bulls — and I need to reiterate “aggressive” — they can take a long position with a stop-loss near $65. A close below that mark puts MU stock below the 21-month and leaves it vulnerable to more downside. A break of the 21-month moving average and a reclaim of this level could set up another long position with a stop-loss just below the new low that forms.
On the upside, however, I’m looking for a move up toward the 10-day moving average. Above that, and the September lows are in play.
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.