It’s Bryce here on a Saturday.
The markets took a major nose dive this week, and boy was it ugly. But can that be a good thing for traders in the long run?
We all felt like 2020 and 2021 were too good to be true. And we worked our butts off to capitalize on those epic opportunities for as long as possible.
But things can’t go up forever without a healthy pullback. So I’m hoping these big dips are exactly what the markets need to remember that they’ve still got what it takes to keep marching upwards.
In other words, I’m hoping for a ‘99 style fake breakdown instead of an ‘01 style bear market.
The real question is, are we in a ‘99 style fake breakdown, or in a ‘01 style true bear market? Time will tell! Opportunity will come either way pic.twitter.com/AxJS83asbr
— Bryce Tuohey (@TraderBryce) May 5, 2022
After all, this week still saw some great long opportunities, even on Thursday when the Nasdaq dropped 4.99%.
I’ve got my eyes on a few prized tickers I hope will do the same next week…
What I’m Watching
Let’s take a look at the tickers that could defy gravity this week…
Vinco Ventures, Inc. (NASDAQ: BBIG)
Vinco Ventures offers a wide variety of retail products, including household goods and appliances, baby and pet care products, health and beauty aids, and entertainment venue merchandise.
But it’s not an innovative new toaster that’s making their stock popular lately…
BBIG recently announced a record and distribution date for its separation from Cryptyde, Inc. (NASDAQ: TYDE). This is kind of a ‘doubleheader ticker,’ as the word on the street (chat rooms) is that TYDE might also run once it’s listed.
BBIG needs to break past $3.50. If it manages that, the mid-to-high $4 range is a possible exit point.
ChemoCentryx, Inc. (NASDAQ: CCXI)
ChemoCentryx is a biotech company that develops and commercializes therapeutics for rare diseases like autoimmune disorders, inflammatory diseases, and cancer.
Companies that focus on so-called ‘orphan’ and rare diseases can have an advantage in the market.
There can be fewer competitors. Plus, they can receive long-term protection and faster approval from regulatory authorities.
Recently, CCXI didn’t have a great earnings release. They missed on both the top and bottom line. But the stock still rose about 15% while the markets were red on Friday. The surge might’ve been due to net sales, which were 5x higher than the prior quarter.
CCXI has to break the $19 level to signal continuation. Breaking past its Friday high of $19.48 would be even better. If it does, it could see $20, $20.50, and above.
Hudson Technologies, Inc. (NASDAQ: HDSN)
Hudson Technologies provides refrigerant technology solutions to help its customers maximize energy efficiency and sustainability standards.
This green energy company saw green intraday stock moves on Friday after beating Q1 earnings and revenue estimates.
But it also fell below its Thursday closing price in early Friday trading, as well as later in the afternoon (after hitting a previous resistance point at $9.70).
HDSN is breaking out of a five-year base … that’s kind of a big deal.
If it manages to break out and close past the $10 mark, it’ll be seeing prices it hasn’t touched since the mid-1990s!
Conclusion
I love it when stocks turn against red markets and make killer green moves. It feels like someone’s out there saying ‘power to the traders!’
For me, that someone is often one of the minds behind the StocksToTrade platform. It’s hands down the best software program to help traders like you and me find market outliers.
But you don’t have to take my word for it. You can try the StocksToTrade platform for yourself risk-free for 14 days! You’ll get access to 20 ticker recs every trading day, built-in scanners, and very user friendly charting technology. Plus, a ton more bonuses!