Tuesday’s Top Stocks From TradersWire
Weight Watchers (WTW),
on extremely heavy volume, broke out above a gap zone. I was
wondering what would happen to
the stock if millions of us decided to go on diet after the holiday season.
It could be just a short covering rally, but the issue is approaching the 38.2%
retracement level.
Nasdaq-100 Index lost 1.08% of its value and closed near the lower
boundary of a trading range. Diamonds Trust (DIA) failed to take out the
December 27 high and finished just above the 20-day EMA. Trading volume was
high.
Now, four stocks for Tuesday:
Fossil Inc (FOSL): The stock could not take out the 200-day EMA after
pulling back from the December 20 low. Short FOSL if it trades below 24.88.
Target is near 23.35. Risk 0.75.
Network Appliance (NTAP): The issue bounced off the 50% retracement level
and closed near the day’s low. Short NTAP if it slips below 32.49. Target is the
December 27 low (31.30). Risk 0.5.
Sierra Wireless (SWIR): The stock broke down below a support line on
heavy volume. Short SWIR if it moves below 16.54. Target is near 15. Risk
0.5-0.75.
Travelzoo Inc (TZOO): If the market improves tomorrow, TZOO may be
interesting to watch. The issue is testing its support level after pulling back
from the December 28 high. Long TZOO if it takes out 98.89. We are looking for
104. Risk one point.
If you have questions, feel free to mail them to me.Â