Dogecoin, Tesla, and GameStop are 3 top FitTwit trends likely worth viewing next week. These recognizable assets have gained a significant quantity of attention in the past, but trader search interest has picked up apparently. Industry conditions and upcoming event risk justify keeping close tabs on these as well. What key topics are DOGE, $TSLA, and $GME traders watching out for at the week ahead?
In reality, Dogecoin price action is pacing a jaw-dropping year-to-date gain in excess of 10,000percent because of its most recent spike over the $0.60-mark. Increasing demand for its fourth-largest cryptocurrency by market cap has followed its own rising popularity as high-profile executives and celebrities hype the alt-coin. Mark Cuban, for instance, has been tweeting about Dogecoin's favorable use cases and the way the Dallas Mavericks were on track to do 6,000 Doge transactions in April.
Crypto traders may want to maintain this possible risk event on the radar because of anticipation for Elon to pump Dogecoin. Doge price action has consolidated from its record high approximately $0.69, but the cryptocurrency appears to be building technical support marginally over the psychologically-significant $0.50-mark. Invalidating the short term descending trendline will attract a retest of all-time highs into focus before traders think about that a push toward $1.00. A breakdown of nearside support may motivate a deeper drive by Dogecoin conveys toward the 20 April swing large. Politicians speaking about regulating the cryptocurrency market stands out as a big threat for Dogecoin and its peers. To that end, SEC Chair Gary Gensler recently stated during a congressional testimony that a regulatory framework ought to be set for crypto markets. Furthermore, US Treasury Secretary Janet Yellen also produced a comment just the other day how cryptocurrency regulation'is a topic well worth addressing.'
Tesla, another FinTwit favorite, is very likely to steal some limelight next week also. Investors won't just be estimating the abilities of Elon Musk as a comedian, but more importantly, also stand to scrutinize his general demeanor during the SNL skits. From the grand scheme of things, however, markets can pay closer attention to additional fundamental motorists weighing Tesla's inventory cost. TSLA price action has confronted noteworthy headwinds because the start of the year as traders unwind exposure to large tech amid increasing interest rates.The 66-basis point ascent by ten-year Treasury yields during the last couple of months has pressured stock market multiples and weighed negatively on businesses with lofty valuations like Tesla in particular.
Although, the latest round of quarterly earnings posted by Tesla detailed good cash flow growth. This stands to assist Tesla price action maintain altitude more broadly. The bullish trendline extended through a series of higher lows, along with the 38.2percent Fibonacci retracement level of its March 2020 into January 2021 trading range, show potential to keep TSLA afloat. Carrying out year-to-date lows might subsequently see a continuing slide toward the $400-price level. On the other hand, eclipsing a month's large near $780 can bring all-time highs back to the radar.
GME stocks now are down roughly -65percent from its 28 January peak near the $480-price level. The video game retailer might start trending on FinTwit again, however, in light of growing search interest and a persuasive technical background for your inventory. It appears that GameStop might be nearing the end of its consolidation phase and also on the cusp of a breakout straight higher. This is highlighted not just by two converging trendlines, but likewise the Bollinger Band squeeze. Bullish trend support connecting the higher lows on 26 February, 25 March, 13 April and 04 May has capability to keep guiding GameStop higher. GME price action also appears to be flirting with a topside break of trendline resistance.
Reclaiming the 50-day simple moving ordinary could reinvigorate GameStop bulls and ignite a bigger rally. This may bring the $260-price degree into focus if a resumption of buying pressures do in fact materialize. Traders may want to have an eye out for changes in sentiment and risk appetite to help gauge whether GameStop heads lower or higher next. Seeking the DailyFX Economic Calendar, we could realize that the release of yearly inflation and retail sales data is scheduled for launch in the week ahead. These generally high-impact risk events could weigh materially on the market's broader direction and also strongarm GameStop's inventory cost.
