The following stocks gapped down significantly at the open on March 26: ServiceSource Corporation, Sterlite Industries (India) Ltd, Direxion Daily Financial Bear 3X Shares, China Southern Airlines Co. Ltd, and Nomura Holdings, Inc. These stocks may be down because of negative overnight news, overall market bearishness, or shorters pounding the stock down in hopes to cover. Oftentimes stocks will close the gap, meaning they will retrace to the last day's low. Thus, gap downs are often good buying opportunities.
Shares of ServiceSource Corporation (SREV) opened lower by -3.31% and are currently trading at $15.66. In the past year, the shares have traded as low as $11.29 and as high as $23.60. On average, 670070 shares of SREV exchange hands on a given day and today's volume is recorded at 193463. The shares are currently trading below the 200-day moving average which indicates that the shares have been suffering from downward momentum lately. The stock may bounce higher to test the 200-day moving average, so look for a move up to the $16.08 area where the stock may encounter resistance.
Shares of Sterlite Industries (India) Ltd (SLT) opened lower by -3.01% and are currently trading at $8.62. In the past year, the shares have traded as low as $6.64 and as high as $16.36. On average, 1331810 shares of SLT exchange hands on a given day and today's volume is recorded at 143085. The shares are currently trading below the 50-day and 200-day moving averages which indicates that the shares have been experiencing downward momentum. The stock may bounce back to test the 200-day moving average. Thus, you may want to pay close attention for a move up to the $9.53 area but be careful because the stock may face selling pressure at this level.
Shares of Direxion Daily Financial Bear 3X Shares (FAZ) opened lower by -2.62% and are currently trading at $20.58. In the past year, the shares have traded as low as $20.11 and as high as $81.50. On average, 16771259 shares of FAZ exchange hands on a given day and today's volume is recorded at 1274213. The shares are currently trading below the 50-day and 200-day moving averages which indicates that the shares have been experiencing downward momentum. The stock may bounce back to test the 200-day moving average. Thus, you may want to pay close attention for a move up to the $26.19 area but be careful because the stock may face selling pressure at this level.
Shares of China Southern Airlines Co. Ltd (ZNH) opened lower by -2.45% and are currently trading at $22.18. In the past year, the shares have traded as low as $19.94 and as high as $35.45. On average, 34270 shares of ZNH exchange hands on a given day and today's volume is recorded at 2492. The shares are currently trading below the 50-day and 200-day moving averages which indicates that the shares have been experiencing downward momentum. The stock may bounce back to test the 200-day moving average. Thus, you may want to pay close attention for a move up to the $25.67 area but be careful because the stock may face selling pressure at this level.
Shares of Nomura Holdings, Inc (NMR) opened lower by -2.42% and are currently trading at $4.45. In the past year, the shares have traded as low as $2.91 and as high as $5.52. On average, 344020 shares of NMR exchange hands on a given day and today's volume is recorded at 31960. The shares are currently trading above the 50-day moving average which indicates that the shares have been experiencing strong upward momentum as the 50 DMA is above the 200 DMA. The stock may come back down to test the 50-day moving average, so look for a move back to the $4.20 area where the stock will likely see buying pressure.
