The following stocks gapped down significantly at the open on March 29: SouFun Holdings Ltd, Best Buy Co. Inc, JetBlue Airways Corporation, Mechel OAO, and Buckeye Technologies 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 SouFun Holdings Ltd (SFUN) opened lower by -4.83% and are currently trading at $18.26. In the past year, the shares have traded as low as $8.34 and as high as $25.66. On average, 240590 shares of SFUN exchange hands on a given day and today's volume is recorded at 36667. The shares are currently trading below the 50-day moving average but above the 200-day moving average. The stock may be range bound between these two levels where the 50-day moving average of $18.36 represents resistance and the 200-day moving average of $15.68 would be an area of support.
Shares of Best Buy Co. Inc (BBY) opened lower by -4.73% and are currently trading at $24.9. In the past year, the shares have traded as low as $21.64 and as high as $32.25. On average, 5565530 shares of BBY exchange hands on a given day and today's volume is recorded at 5758002. 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 $25.28 area but be careful because the stock may face selling pressure at this level.
Shares of JetBlue Airways Corporation (JBLU) opened lower by -4.41% and are currently trading at $4.87. In the past year, the shares have traded as low as $3.40 and as high as $6.45. On average, 5665470 shares of JBLU exchange hands on a given day and today's volume is recorded at 2393980. 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 $4.90 area where the stock may encounter resistance.
Shares of Mechel OAO (MTL) opened lower by -4.37% and are currently trading at $9.09. In the past year, the shares have traded as low as $7.76 and as high as $32.20. On average, 3144470 shares of MTL exchange hands on a given day and today's volume is recorded at 739824. 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 $10.77 area but be careful because the stock may face selling pressure at this level.
Shares of Buckeye Technologies Inc (BKI) opened lower by -3.92% and are currently trading at $33.6. In the past year, the shares have traded as low as $22.30 and as high as $38.41. On average, 349990 shares of BKI exchange hands on a given day and today's volume is recorded at 45515. The shares are currently trading below the 50-day moving average but above the 200-day moving average. The stock may be range bound between these two levels where the 50-day moving average of $34.58 represents resistance and the 200-day moving average of $29.82 would be an area of support.
