3 Stocks to Watch This Week - January 8, 2023
1. InMode (NASDAQ:INMD)
InMode is a highly-profitable company that has been basing for several months now. It’s creating a cup & handle pattern that can break out to the upside any week now. Resistance areas to watch for now are around $40.30, $42.50, and $48.30, as indicated in the chart below. We’re waiting for a pullback near $35.50 to increase our position.
2. Taiwan Semiconductor (NYSE:TSM)
We included TSM stock here because it reports earnings on Thursday, and since it’s a huge semiconductor player, its earnings report could have an effect on popular semiconductor stocks like AMD, NVDA, and INTC. Let’s not forget that Warren Buffett recently took a stake in the company too. With a forward earnings multiple of 13.4x based on 2023 estimates, TSM could be a decent value play. But be careful buying into that trendline resistance near ~$80. We think it’d be better either to buy when it’s oversold or if it establishes an uptrend.
3. Tesla (NASDAQ:TSLA)
Tesla stock is undoubtedly oversold, but is the selling over? There’s still a gap near $82, as indicated in the chart, and gaps do have a tendency to fill. Still, the stock is oversold, and it’s about $20/share away from its 5-week EMA (the blue line), which it has been bouncing into in the past months before coming back down again. So, there’s some short-term bounce potential, but we think a safer bet would be to buy it on a heavy down day for a quick bounce - specifically, if Tesla gaps down big on no news. The further away it is from its moving averages, the stronger the bounce potential. Nothing goes up or down in a straight line. But remember to have an exit plan. We would be sellers near the moving averages.
Thanks for reading! One last thing:
TrendSpider, the charting platform used for the charts above, is having a 2023 sale that ends in just over 7 hours! This will be your last chance to get up to 45% off its platform.
With TrendSpider, you can backtest trading strategies, scan for trade setups, use raindrop candles, create trading bots that automatically trade for you via your brokerage, have access to options flow, alerts, and much more. So check it out and use these special coupons below:
Advanced Yearly: 45% off use coupon - PPF4ADV
Elite Yearly: 40% off use coupon - PPF4ELI
Premium Yearly: 35% off use coupon - PPF4PRE