5 Stocks to Watch Today
Welcome to the Rude Awakening for Monday, November 9, 2020.
Recording just as the futures market opened up last night, we are OFF to the races, with the futures screaming to the upside.
Massive Volatility, Shooting to the Upside
In today’s video, you’ll see the S&P was up almost $40. And this morning, it’s up over $93!!!
The NASDAQ is currently up $97, the Dow up $1,089, and the Russell 2000 is up $86.
The markets are loving the certainty that we’re getting a new president as well as the idea that there will be gridlock between the Senate and the executive office.
It’s been an astounding past week of trading, folks.
The expected range of the S&P 500 was 158 points. In reality, it traded within a 240 point range. Much bigger movement than anticipated. It is CRAZY to see numbers like that, guys.
This week’s expected range is 91 points — this means there is still a lot of volatility expected, but it’s way down from what we expected last week.
We are also still in earnings season, and there are a lot of trades I’m watching that continue to be in play.
Many of the stocks on our updated watchlist are going to be reporting earnings after market close today.
5 Stocks to Watch Today
Number one is the grandaddy of pot stocks: Tilray, Inc. (TLRY). This is a stock that was ridiculously high in pricing when it came out in the midst of pot stock euphoria a couple years ago. Now, that’s drifted way, way down.
TLRY has come from an $11 high all the way down to $5 recently, but in the past few days, it’s had some big spikes. Currently, they’re trading all the way up near that $11 high, after a major upswing in today’s open, in anticipation of today’s earnings announcement. Keep this one on your watchlist for more movement into tomorrow morning.
Another interesting stock is one we have looked at a few times now: Nikola Corporation (NKLA). Now, NKLA is allegedly one of the biggest frauds ever to live on the US stock exchange…
This is the company often compared to Tesla. If you believe what’s been said about them, you know it’s reported that they don’t have ANY viable product being sold. They are also reporting earnings after market close, and… we can expect no earnings to speak of.
They don’t sell anything!!! They don’t even have a prototype to show.
The question is how bad will their report be, and how bad are things really based on everything that’s been reported on them.
Another one to watch is Norwegian Cruise Line Holdings Ltd. (NCLH), one of the companies that’s been mired more than any in the midst of the pandemic.
However, NCLH has somehow shown a tremendous amount of resilience and stability. This one makes for a very interesting trading opportunity. They are also reporting earnings after the bell today.
If you take a look at the Nov 13 at the money options, they show a very high implied volatility of 60-70%.
And last but not least, a company set to report earnings before the bell tomorrow on Tuesday, we have D.R. Horton, Inc. (DHI). This is one of the premier homebuilders, and as we know, the housing and development market has been on fire.
DHI has risen recently from the low $50s to the high $70s. They’re currently trading in the high $60s range. Once we see tomorrow’s earnings report, we should have a better indicator whether they’ll push past their 50day MA to the upside, or fall below it again.
These are your stocks to watch today, folks.
Have a good safe trading day, and we’ll talk again tomorrow to see where things stand.
Editor, Rude Awakening