3 Huge stocks to Trade (or Not)

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 that's 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.

Without further ado, here's a look at today's stocks.

Hertz Global Holdings

Nearest Resistance: $31
Nearest Support: $27
Catalyst: CEO Change

Car rental company Hertz Global Holdings (HTZ) is up more than 1.7% this afternoon, following news that Chairman and CEO Mark Frissora would be stepping down from his role at the firm after an eight-year stint at Hertz' helm. The move isn't completely unexpected -- some activist investors had been publicly calling for a change at HTZ's executive suite.

Ultimately, the move doesn't mean much from a technical standpoint. HTZ has been bouncing its way higher in a textbook uptrending channel going back all the way to the start of 2014, and today's announcement hasn't changed that. As long as Hertz remains in that price channel, it makes sense to buy the dips.

Campbell Soup


Nearest Resistance: $44.50
Nearest Support: $41.50
Catalyst: Q4 Earnings

Shares of soup giant Campbell Soup (CPB) are down around 2% this afternoon following the firm's fourth-quarter earnings release this morning. While the firm's 49-cent profit met Wall Street's expectations, Campbell missed on their full year estimates, with profits expected to be in the $2.45 to $2.50 per share range.

CPB hasn't looked particularly appealing for a while now. Shares have been in a wide, well-defined downtrend for the better part of the last six months, and they've failed to move higher on any recent tests of trend line resistance. While today's drop is unpleasant for anyone who owns this stock, there's still a lot more downside risk to think about in September.

Bank of America

Nearest Resistance: $16.50
Nearest Support: $15.25
Catalyst: Analyst Upgrade

Bank of America (BAC) is seeing some upside today following an analyst upgrade from Goldman Sachs (GS) that ranked the big bank as a buy. Shares are up just over 1.75% on the upgrade, which comes not long after BofA finally put its long-standing mortgage liability issues behind it with the government.

Technically speaking, BAC looks bullish right now. Shares have been forming an ascending triangle pattern since mid-May, a setup that triggers on a move through $16.50. If you're looking for an opportunity to get into this big banking name, a push through that $16.50 price ceiling is the signal that tells us buyers are definitively in control.

To see these stocks in action, check out the at Most-Active Stocks portfolio on Stockpickr.

-- Written by Jonas Elmerraji in Baltimore.

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At the time of publication, author had no positions in the names mentioned. Jonas Elmerraji, CMT, is a senior market analyst at Agora Financial in Baltimore and a contributor to TheStreet. Before that, he managed a portfolio of stocks for an investment advisory returned 15% in 2008. He has been featured in Forbes , Investor's Business Daily, and on CNBC.com. Jonas holds a degree in financial economics from UMBC and the Chartered Market Technician designation. Follow Jonas on Twitter @JonasElmerraji

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