3 Top PowerRatings Pullbacks for Traders: LEAP, NVTL, FSLR
Stocks are up modestly in the first few hours of trading Thursday morning. And while a number of high PowerRatings stocks have taken the opportunity to rally from oversold conditions (Dr. Reddy’s Laboratories
(
RDY |
Quote |
Chart |
News |
PowerRating), up more than 2% an hour into the trading day is one example), there are still a number of high PowerRatings stocks that are still in oversold territory. These are the stocks that short term traders should be focused on over the next few days.
If you like big pullbacks, then you will love Leap Wireless International
(
LEAP |
Quote |
Chart |
News |
PowerRating). This 8-rated stock has closed lower for four out of the past five days and is down big again on Thursday by more than 5% little over an hour after the bell. With a most recent closing 2-period RSI of less than 2 – an extremely low reading – LEAP’s 2-period RSI on Thursday has slipped below 1.
If the correction in LEAP makes you too anxious, but you still are interested in telecommunications stocks that are pulling back, then consider a pullback in a stock like Novatel Wireless Inc.
(
NVTL |
Quote |
Chart |
News |
PowerRating). Down four days in a row, shares of NVTL have become very oversold in recent days, with its 2-period RSI dropping from more than 70 to less than 7.d
Also down for four days in a row – though at the opposite end of the dollar price spectrum – is First Solar
(
FSLR |
Quote |
Chart |
News |
PowerRating). Closing at more than $178 on Wednesday, FSLR has continued to pullback ever since making a short term overbought peak on Friday the 29th. FSLR has an intraday 2-period RSI of less than 19.
All three stocks in today’s report have PowerRatings of 8. Stocks with PowerRatings of 8 have ouperformed the average stock by a margin of more than 6 to 1 after five days according to our historical testing.
Our highest Short Term PowerRatings stocks have outperformed the average stock by a margin of more than 14 to 1 after five days. Click here to start your free, 7-day trial to our Short Term PowerRatings!
David Penn is Editor in Chief at TradingMarkets.com.
Want updates on our latest articles? Have something to say to David Penn or the staff at TradingMarkets? Follow David on Twitter at @Penn_TM and TradingMarkets at @Trading_Markets.