Thursday was another interesting day in the stock market, with plenty of movers and earnings reports. With that in mind, let’s look at a few top stock trades for Friday.
Top Stock Trades for Tomorrow No. 1: Gilead Sciences (GILD)
A report on Gilead Sciences’ (NASDAQ:GILD) remdesivir drug having disappointing data for treating the coronavirus not only hit the stock, but the overall market at one point Thursday. Investors were banking on that drug to help tackle the virus.
However, the action in Gilead shares isn’t as bearish as one might have assumed. First, the stock filled its gap from earlier this month near $76.50.
With that out of the way, shares are also holding in above the 20-day and 50-day moving averages. If Gilead stock holds up over the 20-day, it’s hard to get too bearish. However, a move below puts the 50-day in play and threatens the current uptrend.
A move back over $80 puts $86 resistance in play. The stock’s deflection to Thursday headline is noteworthy for now.
Top Stock Trades for Tomorrow No. 2: Inovio Pharmaceuticals (INO)
Inovio Pharmaceuticals (NASDAQ:INO) has been moving well the past few days, as trading volume continues to climb. The stock has been guided higher by the 50-day moving average and uptrend support (blue line).
Earlier this week, shares broke out over resistance near $9.50, a bullish development that helped send shares up toward $14 on Thursday. If shares continue higher, see if INO can get to $16. Above puts the 2020 high in play near $19.
On a pullback, I want to see $9.50 hold as support. Back below that mark puts uptrend support and the 50-day moving average in play.
Top Stock Trades for Tomorrow No. 3: Las Vegas Sands (LVS)
Las Vegas Sands (NYSE:LVS) is moving nicely higher on the day, rallying as investors take in better-than-feared quarterly results.
On a weekly basis, shares have been coiling in a tightening pattern, although the range has been quite wide as volatility remains elevated. Now, the stock is reclaiming the key $45 level on earnings. If it can continue to hold up over this mark, it puts a possible upside break in play.
On a move higher, look to see if LVS can get up to $50. Above puts $55 to $57 in play, where it will find a cluster of major moving averages. If it can’t hold $45, a pullback to $40 is possible. Below $40 and investors will have to wait for LVS to reset.
Top Trades for Tomorrow No. 4: Domino’s Pizza (DPZ)
What a lovely chart we have for Domino’s Pizza (NYSE:DPZ). The stock is down about 5% after reporting earnings on Thursday before the open, which comes as shares run right into resistance.
From here, bulls will want to see if DPZ can find its footing and retest $380 resistance or if it needs to pull back further first. If it’s the former, a move over $380 puts this week’s high in play near $388, followed by $400 above that.
On a continued dip, see if Domino’s pulls back to the $331 level, where it will find the 50% retracement from the March low to the April high. Below may put the major breakout level back in play, between $295 and $300.
Top Trades for Tomorrow No. 5: Eli Lilly (LLY)
Like Domino’s, Eli Lilly (NYSE:LLY) is also moving after reporting earnings on Thursday morning, although shares are up a few percent instead of down.
The stock continues to struggle gaining traction over $160. If it can do so, look to see if Eli Lilly can hurdle this week’s high near $163.
If it cannot, I’m interested in seeing how LLY stock handles a dip. I want to see if bulls step in and buy the stock on a pullback toward $151, a short-term support/resistance spot this month. Below that puts a wide but hopefully very strong range of support in play, between $142.50 and $147.50. Traders can tighten that range up to $143 to $147 if they care to, but either way, this zone should provide Eli Lilly stock with some support should it dip this far.
Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, he did not hold a position in any of the aforementioned securities.