7 Hot Stocks on Traders' Radars
From hedge funds to individual investors, scores of market participants are turning to social media to figure out which stocks are worth watching. It's a concept that's known as "crowdsourcing", and it uses the masses to identify emerging trends in the market.
Crowdsourcing has long been a popular tool for the advertising industry, but it makes a lot of sense as an investment tool, too. After all, the market is completely driven by the supply and demand, so it can be valuable to see what names are trending among the crowd.
While some fund managers are already trying to leverage social media resources like Twitter to find algorithmic trading opportunities, for most investors, crowdsourcing works best as a starting point for traders who want a starting point in their analysis. Today, we'll leverage the power of the crowd to take a look at seven of the highest-trending stock searches on Google.
Here's a look at how these most-searched names are trading technically .
Nearest Resistance: $2.10
Nearest Support: $1.60
Pharmacy retailer Rite Aid (RAD) is getting traders' attention today after the company released its fourth-quarter earnings to Wall Street this morning. While analysts had been expecting a 14-cent loss, the firm actually lost 18 cents per share.
The earnings miss isn't having too bad of an effect on shares, though: RAD is getting propped up today by decent guidance for the year ahead as well as broad market strength.
From a technical standpoint, Rite Aid could be worse off. While shares have pulled back considerably from mid-March highs, this stock is finding support right now at $1.60, a price that just happens to converge with support at the 50-day moving average .
Buyers should wait for RAD to catch a more substantive bid off of $1.60 before taking a position in shares.
Rite Aid was also featured recently in " 5 Stocks Set to Soar off Bullish Earnings ."
Follow @stockpickr Travelzoo
Nearest Resistance: $27
Nearest Support: $26
Catalyst: Sale Rumors
News that online travel deal site Travelzoo(TZOO) was looking to sell itself sparked interest in shares yesterday, interest that's carrying over onto TZOO's search volume today. The possibility of a large premium from an acquiring firm had speculators piling into positions in the $427 million company. That caused Travelzoo to gap up hard yesterday, breaking the downtrend that had been ravaging its share price for the last two quarters.