The stock markets have been booming with rising opportunities for traders. Over the last few weeks, we’ve seen even more volatility as a result of the actions of the Reddit group Wall Street Bets. With some large and unexpected swings, you might be left unsure about what to trade next. At the same time, you don’t want to be left standing on the sidelines. And that’s where CFD trading is just the ticket! You can go long or short an asset, get in quickly on a position and exit efficiently. And you can set up some tight risk management strategies to cope with market dynamics.
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We’re taking a look at three stocks to trade that are currently showing bullish patterns. They’ve seen positive results out of the latest earning season, and we’ve picked them based on analyst predictions, trading patterns and even social media trends. Let’s dive in.
Alphabet (GOOGL)
Aside from a little volatility early on, it’s been a strong start to the year for Google’s parent company, Alphabet. The company’s share price (GOOGL) has steadily grown over the last few weeks, and it’s started to gather pace as we’ve moved into February.
What’s fueling that uptick? Google’s Q4 earnings certainly helped. They solidified the company’s position as the supremo of digital advertising, highlighting the fact that the California-based tech giant’s ad revenue topped a highly impressive $46.20 billion, up 22% from $37.93 billion in Q4/2019. This in a year in which most companies struggled with the global pandemic!
Why might GOOGL be a good stock to trade this month? With the worst of the pandemic dip now behind them, that ad revenue should pick up even further.
The company’s also been investing heavily into cloud services and autonomous driving recently. That diversification has come at a cost and they’ll be putting a lot of effort into making sure it starts to bear fruit over the coming months. If anyone knows how to diversify their services, it’s Google.
Interested in trading GOOGL share CFDs? Get started by opening a free Deriv trading account.
Tesla (TSLA)
Tesla, Inc. is a company that needs no introduction. Founded in California in 2003, the American electric vehicle giant also has interests in the wider clean energy sector. Its current products include electric cars, energy storage, solar panels and solar roof tiles. And, in case you didn’t already know, it’s current CEO is the richest man in the world.
That wide range of products and the manner in which it conducts its business has set Tesla far apart from its competitors. Investors gaze on the company with particularly keen eyes, given the obvious relevance of their product offering, which should only increase over the coming years.
Tesla has had an impressive last 12 months. This time last year, TSLA was trading at 171.68 USD. Fast-forward to today and the company’s stock sits at 816.12 USD an incredible rise of 375%.
What’s next for TSLA? The company currently has around 16% of the BEV market sewn up, which is already good news. Even better is that experts are expecting a strong shift to EVs within the next decade. According to a report by Deloitte, total EV sales are estimated to grow from 2.5 million in 2020 to 11.2 million in 2025, reaching 31.1 million by 2030. That looks good for Tesla’s future sales.
The future starts right now, of course, and recent headlines regarding a new manufacturing plant that’s to be constructed in India, should also be encouraging for TSLA traders in the very short term.
You can trade TSLA share CFDs with Deriv on MetaTrader 5, available on Windows, Mac, iOS, Android and your web browser.
Netflix (NFLX)
There aren’t many companies that can say that 2020 was a good year, but Netflix is most definitely one of them. As people got to grips with entertaining themselves at home, they turned to the video-on-demand provider in their droves.
The company now boasts nearly 204 million subscribers in 190 countries, and they don’t intend to rest on their laurels this year.
NFLX stock performance is closely linked to its net subscriber additions. Many had expected a slow Q4, with vaccine programmes rolling out and the belief that people would start cancelling subscriptions as they’ll soon be able to leave home. It’s safe to say that this expectation was far from reality.
Netflix added 8.51 million subscribers in Q4, smashing Wall Street’s estimate of 6.5 million and the company’s stock surged 16.9% on that news.
Traders should also be buoyed that analysts believe Netflix’s financials to be solid enough that the company will consider share buybacks and will stop borrowing money to fund its day-to-day operations.
Though competitors circle above, the fact that subscribers are seemingly still willing to continue their subscription despite the return to normality, is very encouraging for Netflix.
NFLX traders are active, you could join them today by opening a free Deriv trading account.
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The contents of this article do not constitute trading advice and should be treated as general information only.
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