After some weekend volatility in the cryptocurrency market, the stock market took a small spill on Monday. That said, let’s look at a few top stock trades — starting with the leading cryptocurrency out there.
Top Stock Trades for Tomorrow No. 1: Bitcoin (BTC-USD)
Bitcoin (CCC:BTC-USD) underwent some volatility over the weekend. The cryptocurrency rallied more than 16% in just a few days to hit new all-time highs near $65,000, then pulled back 20.5% at the recent low just four days later.
Down in five of the last six trading sessions — including the day it made new all-time highs — and Bitcoin is struggling here in the short term. While Bitcoin is giving us a wicked bounce from the lows, it’s still struggling.
Shares need to clear the 50-day moving average to regain more strength, but so far this prior support measure is acting as resistance. On a move back over $60,200, Bitcoin can move back to $65,000, then $67,600.
On the downside, though, the 10-week moving average and $50,350 level remain vulnerable unless Bitcoin can reclaim the 50-day moving average. Below both levels could put the $40,000 to $43,500 zone in play.
Top Stock Trades for Tomorrow No. 2: Peloton (PTON)
Peloton (NASDAQ:PTON) continues to have trouble gaining upside traction. That said, shares also continue to grind higher, riding an uptrend support measure (blue line) that rests between the 200-day and 50-week moving averages.
While catching a bit of a bounce off the lows, PTON stock still looks vulnerable here — below downtrend resistance and all of its daily moving averages.
A move over $120 would take most of the bearish heat off, while a close above $125 would reverse the narrative to bulls being in near-full control.
However, a break of $100 could put $92.50 in play. Below that, and I would consider PTON stock a no-touch until it can firm up and find support.
Top Stock Trades for Tomorrow No. 3: Harley-Davidson (HOG)
Harley-Davidson (NYSE:HOG) went for a ride on Monday morning, but shares ran out of gas a bit as HOG stock fell from its session highs.
In any regard — and cheesy puns aside — the stock is holding up nicely over $43 resistance. So long as that remains the case, bulls remain in control with the stock at new highs.
Back below $43, and I have less interest in the stock. If that’s the case, watch the 10-day moving average. Below could fill the gap from Monday, and below that, $40 should act as support.
Over Monday’s high of $46.44 could put the 161.8% extension in play at $49.44.
Top Trades for Tomorrow No. 4: Clean Energy (CLNE)
Clean Energy (NASDAQ:CLNE) went up 6% on the day, but is well off the session highs.
The stock was rejected by the 50-day moving average and downtrend resistance, but also looks set to close below the 21-day and 10-week moving averages. It’s not a particularly great showing, despite the lofty gains on the day.
In any regard, let’s look for a move over downtrend resistance. If we can get that, then maybe the 50-day moving average and Monday’s high are in play. That will put $15 and the 61.8% retracement near $16 on the table.
On the downside, however, a move below Monday’s low puts the 21-week moving average and $10.75 level in play. Below that, and $10.15 is possible.
Right here at current levels, and CLNE stock feels a bit like it’s in no man’s land. I want to see more confirmation, either in the form of higher prices above resistance or lower prices into support.
On the date of publication, Bret Kenwell did not have (either directly or indirectly) any positions in any of the securities mentioned in this article.
Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell.