July 13 (Monday)
This StockWatch consists of a list of 7 companies that I believe have the potential to do well this week.
It is essential I make this clear: Not all these companies are going to go up nor are they likely to.
Rather, I dilineate that these companies have the potential to do well if and only if certain conditions occur.
StockTalk is not responsible for any loss or mistakes made by an investor. However StockTalk would love your feedback and help on how to better improve this.
SPAQ had a good last week, closing nearly 50% higher than Monday. This was due to news of a potential acquisition deal with Fisker, an EV company.
However, the last three days seems to show a downtrend, closing nearly 10% below SPAQ’s high.
Furthermore, RSI seems to show an exhaustion of the trend, perhaps indicating an exhaustion in the trend. Additionally, we can see a drop in volume, a sign that demand for SPAQ may have decreased.
Odds are that most investors are still bullish on SPAQ in the long term, yet a pullback may be plausible.
Norwegian Cruise Line
NCLH is another stock which had great last week. This was due to report indicating that demand for cruises have been at historical records.
A pullback seems inevitable as there is a fear of rising COVID cases.
If NCLH where to break support it may be a great short for the next few days. On the other hand, if NCLH bounces back support it may be a sign the trend is still strong.
JPM and other financial companies jumped on Friday after positive news regarding COVID testing.
RSI seems to show that JPM is in a strong trend. However, a massive red spike (indicating a sharp sell) perhaps indicates that this week may be pullback or a downtrend.
JPM seems to be in an uptrend and focusing on the channel is essential to find any breakthroughs.
Furthermore, JPM releases their earnings July 14th. COVID most certainly has taken a toll on the economy but good news could perhaps help JPM.
Peleton Interactive Inc
PTON had a great day on Friday following news that the next product from PTON may be more affordable equipment (bikes).
RSI seemed to indicate some bearish divergence at the end of Friday as we saw lower highs and lower lows (In terms of RSI value). This may be an indication of a pullback or a change in trend .
The 21-period EMA seems to be a good measure of identifying support. A cross under that line may support a trend reversal.
OSTK was up 8% on Friday. Fear of COVID and rising rates make OSTK a great stock in the long term.
However, the entire uptrend was a red signal for this week . RSI was consistently showing higher highs and lower lows, despite the uptrend.
This may be a big sign that Monday may show some pullback or a quick downtrend. Nonetheless, OSTK is definitely a buy on the long term.
Camping World Holdings
CWH has been spectacular the entire year, up nearly 640% since the additional COVID dip. CWH is definitely a long term buy.
However, Monday’s sudden sharp uptrend indicated clear RSI divergence.
As CWH went up, we say lower lows and lower highs in terms of RSI.
A pullback seems probably this week, even as CWH continues climbing.
EVRI had a massive surge in volume and demand on Friday, spiking nearly 28%.
However, this trend seems to clearly be exhausted and weak.
Nonetheless, EVRI touched previous highs and then quickly pulled back. If EVRI were somehow able to cross this previously set marker, there may be more to this trend.