BALTIMORE (Stockpickr) -- Put down the 10-K filings and the stock screeners. It's time to take a break from the traditional methods of generating investment ideas. Instead, let the crowd do it for you.
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 thats 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 also makes a lot of sense as an investment tool. 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 investors who want a starting point in their analysis. Today, we'll leverage the power of the crowd to take a look at some of the most active stocks on the market today.
These "most active" names are the most heavily-traded names on the market -- and often, uber-active names have some sort of a technical or fundamental catalyst driving investors' attention on shares. That's especially true now that earnings season is officially underway. And when there's a big catalyst, there's often a trading opportunity.
Without further ado, heres a look at today's stocks.
Nearest Resistance: $55
Nearest Support: $50
Catalyst: Q4 Earnings, Guidance
Toymaker Hasbro (HAS) is seeing big volume after Monday's fourth-quarter earnings release. The firm reported weaker-than-expected profits for the critical fourth-quarter period, delivering earnings of $1.12 per share. Analysts were looking for $1.22. But solid guidance over upcoming toys with blockbuster movie tie-ins spared shareholders from selling pressure.
But Hasbro's ability to catch a bid this week isn't a huge surprise. HAS had been forming a broadening top pattern that triggered in late January, as shares sold off to the 200-day moving average. But a bounce pushed shares up to $50 ahead of earnings. The good guidance for next quarter officially breaks HAS out of bear mode.
Red Robin Gourmet Burgers
Nearest Resistance: $77.50
Nearest Support: $62.50
Catalyst: Analyst Upgrade
Red Robin Gourmet Burgers (RRGB) is getting a key reprieve from selling this week, pushed higher after Raymond James upgraded the firm to a strong buy rating, with an $80 price target. That was enough of a spark to blast shares out of the downtrend that had been shoving the stock lower since November.
That breakout above the top of the channel is a buy signal -- just keep a tight stop in the small-cap restaurant chain. Things could stay volatile this week.
GT Advanced Technologies
Nearest Resistance: N/A
Nearest Support: $10.50
Catalyst: CNBC Mention
Shares of GT Advanced Technology (GTAT) are seeing their highest trading volume of 2014 this week, after the firm was mentioned as a possible target for Apple (AAPL) on CNBC. The speculation was enough to shove GTAT 9.3% higher in yesterday's session, and enough to push shares to new highs from a textbook ascending triangle setup.
Making new highs is significant from an investor psychology standpoint because it means that everyone who has bought shares in the last year is sitting on gains. As a result, the "back to even" mentality is less of a concern than it would be for a name with a higher proportion of shareholders sitting on losses. If you decide to be a buyer here, I'd recommend keeping a tight stop in place.
Advanced Micro Devices
Nearest Resistance: $3.70
Nearest Support: $3.30
Catalyst: Technical Setup
Shares of Advanced Micro Devices (AMD) have spent most of the last six months trading in a haphazard range, bouncing between the $3.20 level and $4.60 topside. That's worth bringing up because AMD is seeing high volume for technical reasons this week. What's interesting about AMD is that this stock is extremely technically obedient -- it's exhibited a lot of textbook trades over the last few months. But those trades have been quick, so traders who want to take advantage need to be nimble.
Most recently, AMD broke out of an inverse head and shoulders bottom after being very oversold heading into February. Resistance at $3.70 looks a lot weaker than support at $3.30. AMD could have a lot further to move before it fizzles out.
To see these stocks in action, check out the at Most-Active Stocks portfolio on Stockpickr.
-- Written by Jonas Elmerraji in Baltimore.