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5 Top Stock Trades for Tuesday: BA, PINS, AMZN

Bret Kenwell

The stock market continues to grind out new record highs, as equities pushed higher on Friday. Remember, Monday is closed in observation of Martin Luther King Jr. Day, so let’s look at a few top stock trades for Tuesday.

Top Stock Trades for Tuesday No. 1: Boeing (BA)

Top Stock Trades for Tuesday No. 1: Boeing (BA)

Source: Chart courtesy of StockCharts.com

Boeing (NYSE:BA) stock is moving lower on Friday, and as it’s doing so, it’s approaching the lower end of its recent trading range.

Range support has stood firm for well over a year. The only time it failed came in late-2018, when the entire market was being hammered. Should $320 give way, it technically puts the $300 level on the table — with the fourth-quarter lows near $286 possible below that.

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If support holds, see if BA can take out its recent high at $344. If so, its 100-week moving average and downtrend resistance (blue line) are possible.


Top Stock Trades for Tuesday No. 2: Pinterest (PINS)

Top Stock Trades for Tuesday No. 2: Pinterest (PINS)

Source: Chart courtesy of StockCharts.com

Pinterest (NYSE:PINS) has suddenly found itself back in demand, with shares rallying from $20 to $24 in just a few trading sessions.

Despite an upgrade propelling it higher on Friday, shares backed off after running into prior range support between $24 and $25, as well as the declining 100-day moving average.

What now? Let’s see if the stock can find its footing and continue to press higher. Otherwise, a correction down to $21 and/or the 20-day moving average may be in the cards.


Top Stock Trades for Tuesday No. 3: Amazon (AMZN)

Top Stock Trades for Tuesday No. 3: Amazon (AMZN)

Source: Chart courtesy of StockCharts.com

A lot of investors are bemoaning the way Amazon (NASDAQ:AMZN) is trading lately. While it lacks the firepower that other mega-cap tech stocks have shown, it is doing better.

Shares broke down below a rising wedge formation (purple lines), but the stock is finding support from the backside of prior channel resistance (blue line), as well as the 20-day moving average.

Below this zone would be discouraging. But as long as it stays above the 200-day moving average, bulls still have something to work with. Below the 200-day, and that changes.

On the flip side, bulls need to see AMZN clear $1,900 to regain momentum. Above puts the recent high of $1,917 on the table, followed by a potential test up to its July gap near $1,940.


Top Stock Trades for Tuesday No. 4: Schlumberger (SLB)

Top Stock Trades for Tuesday No. 4: Schlumberger (SLB)

Source: Chart courtesy of StockCharts.com

Schlumberger (NYSE:SLB) initially rallied on Friday after reporting earnings, but has since turned lower. Now comes make-or-break time.

Near $37.50, SLB stock has the rising 50-day moving average and uptrend support (blue line) in play. Below this zone, and longs may want to consider hitting the exits. Below the 200-day moving average, though, and that’s most certainly the case for traders.

On the upside, investors can see that SLB failed to reclaim $40, a key technical level over the past year. If SLB can reclaim this mark, it will show that bulls are back in control. For now, though, let’s see if that trend support holds up.


Top Stock Trades for Tuesday No. 5: Twilio (TWLO)

Top Stock Trades for Tuesday No. 5: Twilio (TWLO)

Source: Chart courtesy of StockCharts.com

Twilio (NYSE:TWLO) has been like a little rocket. Shares broke out over long-term downtrend resistance (blue line) in December, while most growth stocks were already well out of their respective downtrends.

In any regard, TWLO has been playing catch-up. On the last trading day of 2019, TWLO closed at $98.28. However, the stock headed north of $120 in five trading days since, all of which were positive. Now, shares are chopping between $117.50 and $121 — the latter of which comes into play with the 200-day moving average.

Below $117.50, and TWLO may correct a bit further given its large run. However, a move over the 200-day moving average, and the $123 mark could fire up the rally once more — potentially sending TWLO over $130.

Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long PINS and TWLO.

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