🚀 Wall Street Radar: Stocks to Watch Next Week

💼 Volume 10: Small Cap Momentum: Russell 2000 Breaks Away from Pack

In a week of choppy trading, the stock market closed on a high note, with the S&P 500 breaking the 5,800 barrier for the first time and the Dow Jones Industrial Average reaching new heights. The show's real star, however, was the Russell 2000, which outperformed its larger counterparts with an impressive 2.1% jump. This small-cap surge highlights a broader market rally that defied expectations and overcame several potential obstacles.

Despite disappointing news from Tesla regarding its Robotaxi reveal, strong earnings reports from financial giants like JPMorgan Chase, Wells Fargo, and BlackRock buoyed investor sentiment. Economic data suggesting the Federal Reserve might maintain its rate-cutting stance, even as inflation concerns linger, further bolstered the market's resilience.

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🎢 High-Volatility Thrill Rides

ATGL: Alpha Technology Group Ltd

What they do: Alpha Technology Group Ltd. is a holding company, which engages in the provision of cloud-based IT solution services.

Why watch? 📊 This Hong Kong-listed stock presents a pure technical play with no revenue. Investors should exercise caution due to the possibility of liquidation. While some Chinese HK companies have been known to be fraudulent, we lack sufficient information to make a definitive assessment. The stock is displaying a visually appealing pennant formation on exceptionally low volume, which could signal a potential breakout.

IRBT: iRobot Corporation

What they do: iRobot Corporation designs and builds consumer robots, including the popular Roomba vacuum cleaning robots, Braava floor mopping robots, and other home robots for various tasks.

Why watch? 🤖 This beaten-down name in the robotics sector could be poised for a comeback. Technical analysis reveals a double bottom at $6.50, with the stock now consolidating near its moving average on low volume. The robotics theme may gain traction, potentially driving renewed interest in IRBT.

DNTH: Dianthus Therapeutics

What they do: Dianthus Therapeutics, Inc. is a clinical-stage biotechnology company. It designs and delivers novel, monoclonal antibodies with improved selectivity and potency over existing complement therapies.

Why watch? 📈 The stock has been consolidating since April, forming a robust base. In technical analysis, longer consolidation periods often precede significant breakouts. This extended sideways movement could be setting the stage for a substantial move.

BPTH: Bio-Path Holdings, Inc.

What they do: Bio-Path Holdings, Inc. is a biotechnology company developing novel nucleic acid therapeutics exploiting DNAbilize®, a proprietary drug delivery and antisense technology.

Why watch? 🧬 This speculative play shows intriguing technical patterns. After a significant breakout, the stock consolidated for three days on decreasing volume. This behavior could indicate the start of a second leg up, potentially targeting the $1.50 level.

GRRR: Gorilla Technology Group Inc.

What they do: Gorilla Technology Group Inc. is a global provider of AI-based edge video analytics, IoT technologies, and cybersecurity solutions.

Why watch? 📹 Following strong earnings at the end of September, the stock is consolidating nicely above its 10 and 20-day exponential moving averages (EMAs), which are acting as support. A few more days of sideways action could set up an attractive breakout opportunity.

CSLR: Complete Solaria Inc.

What they do: Complete Solaria, Inc. engages in the provision of solar services. It offers sales enablement, project management, partner coordination, and customer communication.

Why watch? 🌞 This stock warrants special attention due to its significant future potential. It has reclaimed a key weekly level at $2.30 and is approaching a breakout from a downward channel. We’ll probably make a special article only on this stock.

🏄‍♂️ Medium-Risk Wave Riders

MYTE: MYT Netherlands Parent B.V.

What they do: MYT Netherlands Parent B.V., operating as Mytheresa, is a luxury e-commerce platform offering products from top designer brands.

Why watch? 👜 After trading near its IPO lows, MYTE has received a significant catalyst with the acquisition of Yoox. This strategic move could transform Mytheresa into a luxury e-commerce powerhouse, potentially driving substantial growth and market share gains.

EOLS: Evolus, Inc.

What they do: Evolus, Inc. is a performance beauty company focused on delivering clinical neurotoxin products for aesthetic indications.

Why watch? 💉 The stock is approaching a key weekly level at $17.38 while forming a classic Volatility Contraction Pattern (VCP) above its 10 and 20-day EMAs. This technical setup suggests a potential breakout in the near term.

ARQT: Arcutis Biotherapeutics, Inc.

What they do: Arcutis Biotherapeutics, Inc. is a biopharmaceutical company focused on developing and commercializing treatments for dermatological diseases.

Why watch? 🔬 A large triangle pattern has been developing since April, mirroring patterns seen in other medical and biotech stocks. This sector-wide trend could signal a potential upswing in biotech, with ARQT well-positioned to benefit.

ASTS: AST SpaceMobile, Inc.

What they do: AST SpaceMobile, Inc. is building the first and only space-based cellular broadband network accessible directly by standard mobile phones.

Why watch? 📡 The stock has been trading in a tight range since early September, currently hovering near all major moving averages. A decisive move above or below the $21.68 level could signal the next trend direction.

ICUI: ICU Medical, Inc.

What they do: ICU Medical, Inc. develops, manufactures, and sells medical devices used in infusion therapy and critical care applications.

Why watch? 🏥 Exhibiting a similar pattern to EOLS, ICUI is forming a potential breakout setup in the medical devices sector. The convergence of patterns in related stocks could indicate a broader sector move.

ETHU: Ether ETF

What they do: The Ether ETF provides investors with exposure to the price movements of Ethereum, the second-largest cryptocurrency by market capitalization.

Why watch? 💹 As Bitcoin shows signs of potential upward movement, Ethereum often follows suit. The ETF is forming a triangle pattern that appears ready to break, potentially offering a more accessible way to gain exposure to crypto market movements.

TLN: Talen Energy Corporation

What they do: Talen Energy Corporation is one of the largest competitive power generation and infrastructure companies in North America.

Why watch? ⚡ This recent IPO boasts strong financials and has just touched its 50-day EMA with a hammer candlestick pattern. A brief consolidation in the coming days could set up an attractive bounce play.

🛡️ Low-Risk Safe Harbors

DUOL: Duolingo, Inc.

What they do: Duolingo, Inc. operates a mobile learning platform that offers courses in over 40 languages to approximately 500 million users.

Why watch? 📚 While current relative strength is subdued, the stock is trading near all-time highs. A pullback to the base of the current pennant formation could present an ideal entry point for a long-term position in this ed-tech leader.

JD: JD.com, Inc.

What they do: JD.com, Inc. is a leading supply chain-based technology and service provider, offering a wide range of products through its e-commerce platform.

Why watch? 🛒 The stock is approaching the crucial $42 level, a significant weekly support. If the broader Chinese market rally continues, this level could serve as a strong foundation for future growth. JD's position in the e-commerce sector makes it a key player to watch in the Chinese tech space.

Invest for the long haul.

Don't get too hung up on what happens in the short term.

Peter Lynch