July 8 (Wednesday)
This StockWatch consists of a list of 6 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.
This week's picks are more long term than last week. Let's go over these swing trades.
First we'll start with the losses. Yes I mention those as well. PAYX beat their earnings. However, fear of the second wave and uncertainty overpowered the good news and started what seems to be a strong downtrend.
Hopefully as a disciplined trader you were able to cut your losses and backed out using good risk management.
PAYX is not on the watchlist for the rest of the week as the downtrend seems to be staying for the remaining of the week.
BPY seems to have lost all its progress in the last two days. After rising 16%, BPY has hit support levels from Monday.
If this downtrend continues, BPY will not be a suitable option.
However, tomorrow will better show the direction of BPY.
BYFC was another stock which seemed to have lost all its momentum.
The 34% gap up (as predicted) was followed by a nearly 40% downtrend.
BYFC is still in my picks for a swing trade. However, if this downtrend continues during the week my opinion may become more bearish.
FCEL has been going strong the entire week, with a nearly 17% growth.
FCEL has also tested its momentum as it succesfully bounced twice off its 200-Period EMA.
FCEL is still a strong swing trade for the time being.
FORM seems to be in what looks like a period of consolidation.
Holding FORM seems like the best option at the moment, as there may be a good chance for a possible gap up.
FUV may be forming a possible triangle pattern.
It has been steady for the entire week and a news catalyst may help FUV cross resistance.
NIO seems to be in a small downtrend at the moment.
Although there is no doubt of the long term potential for electric vehicles and NIO, be wary of tomorrow's results.
The 50-Period EMA crossing under the 200-Period EMA (Otherwise known as the death cross) may bring bad news for NIO
The last and perhaps most peculiar stock is EQT.
EQT had a fantastic Monday. However, the downtrend which seems to have begun may be hindering growth.
If we see a third consecutive day in the red EQT may no longer be a viable trade.