Stocks that are going up can feel like finding rare gems in a vast mine. I remember tracking Netflix back in 2013 when it jumped 300% in a year - wish I'd trusted my gut then! But chasing rising stocks isn't just about luck. It's about understanding why they move and how to spot real opportunities. Today we'll cut through the hype and focus on actionable strategies. Whether you're new to investing or just frustrated by stagnant picks, this guide covers what actually works.
What Makes Stocks Go Up Anyway?
Let's get real - stock prices don't rise randomly. Behind every surge are concrete drivers. From my experience tracking markets daily since 2016, these factors actually matter:
Company Performance Fundamentals
Earnings reports tell the true story. Take Apple's Q1 2022 results - 11% revenue growth sent shares up 7% overnight. Key metrics I always check:
- Revenue growth (quarter-over-quarter and yearly)
- EPS beats (when actual earnings exceed forecasts)
- Profit margins (especially expanding ones)
- Guidance upgrades (when management raises future targets)
Funny thing - I once ignored NVIDIA's stellar margins in 2019 thinking "it can't last." Big mistake. Stocks that are going up sustainably always have strong fundamentals underneath.
Industry and Market Trends
Remember crypto stocks in late 2020? Companies like Coinbase rode Bitcoin's wave. Sector momentum creates rising tides lifting multiple boats. Right now, I'm watching:
Sector | Current Catalyst | Stocks Impacted | Potential Duration |
---|---|---|---|
Renewable Energy | Inflation Reduction Act funding | ENPH, FSLR | Multi-year |
Semiconductors | AI chip demand surge | NVDA, AMD | 2023-2025 |
Biotech | Ozempic-like drug approvals | LLY, NVO | Short-to-mid term |
Technical Breakouts
Charts often signal moves before news hits. I learned this the hard way missing Microsoft's 2016 breakout. Now I watch for:
- 50-day moving average crossing above 200-day (Golden Cross)
- Unusually high volume spikes
- Breakouts above key resistance levels
But charts aren't crystal balls - they work best combined with fundamental analysis.
Spotting Rising Stocks Before They Explode
Finding stocks that are going up early requires detective work. Here's my practical screening approach:
Effective Screening Strategies
Screening Method | Parameters I Use | Platform Examples | Why It Works |
---|---|---|---|
Price Momentum | Up 20%+ in 3 months | Finviz, TradingView | Captures accelerating moves |
Earnings Surprise | Consistent quarterly beats | Yahoo Finance, Zacks | Shows underestimated growth |
Institutional Buying | New hedge fund positions | Whalewisdom, Fintel | Smart money often leads |
Just last month, this combo flagged cybersecurity stock CRWD before its 30% jump. Pro tip: set alerts for unusual volume - it often precedes big moves.
News Catalysts That Actually Move Prices
Not all headlines matter equally. From tracking hundreds of events, these consistently impact stocks that are going up:
- FDA approvals - Biotech stocks often surge 50-200%
- Major contract wins - Especially defense/government deals
- Short squeeze setups - Low float + high short interest = rocket fuel
But beware - I got burned chasing pharmaceutical rumors. Always verify through SEC filings.
Current Stocks Showing Strong Momentum
While past performance doesn't guarantee future results (required disclaimer!), these stocks exhibiting sustained upward movement deserve attention based on current metrics (as of July 2023):
Company | Ticker | Price Trend | Key Growth Driver | Risk Level |
---|---|---|---|---|
NVIDIA Corp | NVDA | +220% YTD | Dominance in AI chips | Medium (valuation) |
Meta Platforms | META | +138% YTD | Cost-cutting + Reels monetization | Low-Medium |
Palo Alto Networks | PANW | +75% YTD | Cloud security demand | Low |
Carnival Corp | CCL | +125% since Jan | Travel rebound + debt reduction | High (debt load) |
Notice something? These aren't random picks. Each has clear fundamental justification behind the price surge.
What's Driving These Moves
NVDA's run isn't magic - AI workloads require 10x more GPU power. Cruise lines? Pent-up travel demand plus disciplined capacity management. The key is connecting price action to tangible business developments. Stocks that are going up sustainably always have this linkage.
Investing Strategies for Momentum Stocks
Buying stocks that are going up sounds simple until you face volatile swings. Here's how I approach it:
Entry Tactics That Reduce Risk
- Scale in during pullbacks - Buy 25% positions at key support levels
- Confirm with volume - Wait for volume expansion above 50-day average
- Pair with options - Use long calls instead of shares for high-priced movers
When Amazon broke $100 in 2015, I waited for a pullback to $95 - that patience added 50% to gains.
Position Sizing Rules
Account Size | Max Per Position | Maximum Momentum Stocks | Rationale |
---|---|---|---|
< $25,000 | 5% | 3 positions | Prevents overexposure |
$25-100K | 3-4% | 5 positions | Balanced diversification |
> $100K | 2-3% | 8-10 positions | Volatility management |
Seriously - breaking these sizing rules cost me $12,000 during the 2020 tech correction. Don't repeat my mistakes.
Managing Risk With Rising Stars
Here's where most investors fail spectacularly with stocks that are going up. Volatility cuts both ways.
Essential Exit Strategies
- Trailing stops - Set at 15-20% below recent high
- Profit targets - Take 30-50% off at key resistance levels
- Time-based exits - Reduce position after 6 months of gains
My Tesla holding in 2021? Up 120% then crashed 40% before I exited. Never again - now I automate exits.
Psychological Traps to Avoid
Trap | Why It Hurts | My Prevention Method |
---|---|---|
FOMO Buying | Entering extended moves | Wait for 3% pullback minimum |
Holding Too Long | Giving back profits | Automated sell orders |
Ignoring Fundamentals | Riding speculative bubbles | Monthly fundamental reviews |
That last one burned me bad with NFT stocks. When valuations detach from reality, trouble follows.
Common Questions About Rising Stocks
How long do upward trends typically last?
It varies wildly. Sector-driven moves might last 6-18 months (like EVs in 2020-21). Company-specific growth can sustain for years (see SHOP 2015-2021). Track earnings revisions - when analyst upgrades slow, momentum often fades.
Should I avoid stocks that have already gone up a lot?
Not necessarily. Stocks making new highs often keep rising - but check valuations. If P/E exceeds sector average by 50%+, proceed cautiously. Stocks that are going up rapidly need extra due diligence.
What technical indicators best confirm uptrends?
I rely most on: 1) 50-day > 200-day moving average 2) RSI between 40-70 (not overbought) 3) Higher highs/lows on weekly charts. MACD crossovers help too.
How much should I allocate to momentum stocks?
Depends on risk tolerance. For most investors: 10-30% of total portfolio. Never bet the farm - even strong trends reverse unexpectedly.
Tools That Actually Help Track Momentum
Forget expensive subscriptions. These free/cheap tools I use daily:
- TradingView - Best charting for trend analysis ($15/mo premium worth it)
- Finviz Elite - Unbeatable stock screener ($299/year)
- Seeking Alpha - Earnings call transcripts (free tier sufficient)
- Yahoo Finance - Real-time alerts (100% free)
Pro tip: Set custom email alerts for "unusual volume" and "52-week highs" - catches movers early.
Closing Thoughts From My Experience
Chasing stocks that are going up feels exhilarating... until it doesn't. The biggest lesson? Sustainability beats speed. Stocks rising steadily with institutional support tend to outperform flashy meme stocks. Focus on companies with: 1) Growing competitive advantages 2) Reasonable valuations 3) Multiple expansion potential. That's why I'm still holding my Microsoft position from 2018 - slow and steady wins the race.
What's your worst "rising star" experience? Mine was buying Peloton at $160 because "lockdowns would last forever." Ouch. We learn more from losses than wins. Stay disciplined out there.
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