A record jobless claims report on Thursday was followed up with a dismal jobs report on Friday. That said, let’s look at a few top stock trades for next week.
Top Stock Trades for Monday No. 1: Advanced Micro Devices (AMD)
Advanced Micro Devices (NASDAQ:AMD) was trading great on the long side when the market was rebounding higher. In all, AMD stock has actually been trading pretty well amid the novel coronavirus pullback.
In late February, AMD stock posted a wicked rebound off the $42 area, but just a few sessions later, it was harshly rejected by the 50-day moving average. The latest rally was cut short by the now-declining 50-day moving average once again. It shows that bulls can’t keep momentum on their side.
If the $42 level fails to buoy AMD once again, look for a retest of the $38 area and the 200-day moving average. At least on the first test, I would expect this zone to act as support. If it does, a rebound back to $42 is in play. If it doesn’t, though, $34 to $35 could be in play.
Top Stock Trades for Monday No. 2: Boeing (BA)
The volatility remains high in Boeing (NYSE:BA). Shares broke below $100 in mid-March, then doubled in a rapid rally up past $180. However, the 38.2% retracement from the February high to March low, along with the 20-day moving average acted as resistance.
Now shares are clinging to the $120 area. Below that puts $100 back on the table. If $120 holds as support, see if Boeing can rally back up through $140. Over it puts the $160 mark and the 20-day moving average in play.
Keep it simple with Boeing stock, and go level to level.
Top Stock Trades for Monday No. 3: Uber (UBER)
Like Boeing, Uber (NYSE:UBER) posted a robust rally off last month’s lows.
However, after bubbling just below $28, Uber stock could not push through this mark, which now becomes upside resistance.
The 20-day moving average failed to buoy the stock, as shares are now retreating. For bulls, they’ll want to see this stock hold up over $20, if not purely for psychological reasons. The 23.6% retracement is not the support level I’d go all-in at, but it’s the last bit of support between Uber’s current stock price and sub-$16.
Below $20, and that $16 mark is in play. On a rally, see if Uber can reclaim its 20-day moving average, then retest $28.
Top Stock Trades for Monday No. 4: Livongo
Remember Livongo (NASDAQ:LVGO), a stock we flagged in late March as it had an ascending triangle setup?
That’s a bullish technical development, where rising uptrend support (blue line) squeezes a share price against a static level of resistance. In this case, resistance came into play near $24.
Well, it didn’t take long for LVGO stock to burst through this resistance mark, reclaiming its 50-day and 100-day moving averages in the process. With the breakout playing out, what should investors keep an eye on now?
Traders may consider booking some or all of their profits in Livongo. After all, this is a tough tape — especially for swing traders. From here though, keep an eye on $30, which has been resistance for several quarters, and $24, the prior breakout level. The latter should now act as support, provided the bulls can remain in control.
Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long LVGO.