3 More Nasdaq Stocks for Short-Term Traders
With the Nasdaq putting on a strong performance to start the quarter and the week (up nearly 1% to finish near year-to-date highs), traders and active investor may not think to look to the stocks of the Nasdaq for quality pullbacks above the 200-day moving average.
And while there are a number of Nasdaq stocks making new highs on Monday – I’m talking to you, Apple (NASDAQ: AAPL) – there are more than a few Nasdaq stocks that have pulled back to levels where traders, historically speaking and in the short-term, have been more inclined to buy than sell.
Shares of Ebay (NASDAQ: EBAY) have now closed lower for five days in a row after edging lower by more than three quarters of a percent on Monday. The pullback has earned the stock 7 out of 10 ratings, one point away from our “consider buying” category, and a modest positive edge of just over a quarter of a percent. The stock managed to rally off its lowest levels of the session midway through trading on Monday, though EBAY will still open at new, two-week lows for the second day in a row.
Ebay’s last ratings upgrade to 7 or higher came at the beginning of March as part of sell-off that took the stock lower for four out of five trading days. Shares of EBAY traded oversold on the final day of that pullback, and then rallied to gain more than 6% over the next five days.
The current pullback in shares of Buffalo Wild Wings (NASDAQ: BWLD) pretty much dashed the hopes of those momentum, “buy high, sell higher” traders who jumped on the stock’s big breakout last Monday. A week later, shares of BWLD have closed lower for four out of the past five trading days to finish in technically oversold territory.
From here, however, the future could brighten for Buffalo Wild Wings. Aggressive selling of the breakout has resulted in the stock earning a positive edge of 1% ahead of trading on Tuesday, and a one-point, ratings upgrade from 6 out of 10 to 7 out of 10, one point below our “consider buying” category.
With a positive edge of just over half a percent, shares of Stamps.com (NASDAQ: STMP) have closed lower for a third day in a row. But buyers may already have revealed their strength in the inability of the stock to close near session lows during its recent correction.
Finishing near its highest levels on Monday despite continuing to close down on the day, STMP has earned a one-point ratings upgrade to 7 out of 10, putting the stock at the upper boundary of our “neutral” range.
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David Penn is Editor in Chief of TradingMarkets.com