4 Top Stock Trades for Tuesday: AMC, Bitcoin, DKNG, ICE

top stock trades - 4 Top Stock Trades for Tuesday: AMC, Bitcoin, DKNG, ICE

Stocks traded in a mixed, choppy session which featured Federal Reserve speakers in the morning and a late-day dip. With that in mind, let’s look at a few top stock trades as we continue to trade an extended market.

Top Stock Trades for Tomorrow No. 1: AMC Entertainment (AMC)

Top stock trades for AMC
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Source: Chart courtesy of TrendSpider

Does AMC Entertainment (NYSE:AMC) have one left meme squeeze left in it? If so, will earnings be the trigger?

Today’s move is solid, with AMC stock going monthly-up over last month’s high near $44.50. However, earnings are likely to put out the fire or pour gasoline on it. We just don’t know which one.

If it ignites AMC higher, watch for $50 on the upside and a test of the second-quarter high at $52.79. Above that puts the 61.8% retracement in play, followed by clear resistance in the low-$60 area.

On the downside, though, bulls are hoping a move lower is met by buyers near $40. Not only would AMC find its 10-day and 50-day moving averages near this mark, but also the backside of prior downtrend resistance (blue line).

Top Stock Trades for Tomorrow No. 2: Bitcoin (BTC-USD)

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

Bitcoin (CCC:BTC-USD) traded incredibly well on Monday. Shares had been putting in a series of higher lows while remaining trapped below its prior high near $64,900.

With Monday’s push above that mark, the all-time high near $67,000 is on the table.

Bulls are looking for a breakout over this mark, putting $70,000-plus in play. If we get the breakout, it will also have investors optimistic on a longer-term push toward the 161.8% extension.

On the downside, however, we don’t want to see Bitcoin lose the prior high. If it does, let’s see if the 10-day and 21-day moving averages can act as support. Otherwise, this month’s low is on the table just above $60,000.

Top Stock Trades for Tomorrow No. 3: DraftKings (DKNG)

Daily chart of DKNG stock
Click to Enlarge
Source: Chart courtesy of TradingView

DraftKings (NASDAQ:DKNG) wasn’t trading great after earnings, breaking down from its current channel.

However, the stock barely cracked its Q3 low and reversed higher on Friday. While the stock did fade hard from the highs and didn’t finish in positive territory, this was a promising start.

Now pushing back up into its channel, we have to see where DKNG stock can go. On the upside, the post-earnings high looms near the midpoint of the channel, where the stock also finds the declining 10-day moving average.

A move above that could kickstart a larger rally, putting the 21-day moving average and channel resistance on the table. A breakout of the channel could open up a move to $50-plus.

On the downside, though, a close below $42.21 warrants caution, even if there is some divergence.

Top Trades for Tomorrow No. 4: Intercontinental Exchange (ICE)

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

Last but not least is Intercontinental Exchange (NYSE:ICE), a stock that has been explosive over the past month. Shares were up more than 20% from the Oct. 4 low until the most recent correction.

Shares are now down in four straight sessions, but are finding support right at the 10-day moving average. That’s very promising price action. If the 10-day is support, let’s look for a rebound back up to $139.

A move to new highs over $140 puts the 261.8% extension in play near $143.50.

On the downside, however, a move below last week’s low at $135.69 and Monday’s low at $135.14 could put the 21-day moving average in play, along with the $133 level.

On the date of publication, Bret Kenwell held a long position in DKNG. 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/2021/11/4-top-stock-trades-for-tuesday-amc-bitcoin-dkng-ice/.

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