Everyone Hates This Stock (Except Me!)
Let’s talk about tech…
In late November, the Nasdaq Composite finally recovered and made new highs after three months. Looking at the charts, I’m now targeting a move to 14,500, which is another 15% move higher!
Volatility is low. The dollar is dropping. Everything is setting up for another surge in stocks…
Right now, I’m looking at a stock that everyone hates…
But the chart is telling me it’s ready to pop.
Watch my recent television appearance to learn more:
Keep it In the Money,
Chart of the Day: Time for a FANG rally?
The only “bad news” creeping into the picture this holiday season is stimulus gridlock. Unfortunately, that’s exactly what we’re seeing in the markets right now as congress continues to drag the debate closer to the holiday break.
Most folks still think we’ll get a deal. But the indecision gives the financial media something to blame for the small slump we’re seeing in stocks right now.
It’s important to keep in mind that the averages are stretched this week. We’ve enjoyed a strong rally… but the market will need to digest these gains one of two ways: chopping along or pulling back. My guess is we see some form of a pullback/retreat before the end of the month. But again, this is only a guess.
Tech remains an important market leader. But some of these stocks also need a rest. The semiconductor sector, for example, has jumped an eye-popping 25% since the beginning of November.
On the other hand, there are some tech mega-caps that are late to the party – and these household names looked primed for gains even as the averages consolidate.
Check out Netflix Inc. (NASDAQ:NFLX):
Like most of the FANG stocks, Netflix shares have yet to test their all-time highs set back in the summer. But shares are starting to bounce this month. NFLX jumped more than 3.5% to kick off the trading week. If this momentum continues, we could see this stock make a run toward $560 and its all-time highs before the year ends…
— Greg Guenthner