Usually, this weekly installment includes three stocks that have a high potential for making big moves on Wall Street. This week however, likely because of the upcoming holidays, only two stocks fit the mold: Cal-Maine Foods and CalAmp .
What these two stocks have in common is that they are both reporting earnings in the upcoming week, and both are heavily shorted -- or have lots of investors betting against their short-term success. That's a recipe for volatility: The last time I identified three such stocks, they moved an average of 23% following their respective releases!
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But I don't think you should try and turn a quick profit based on this information. There's no telling if shares will go up or down. Instead, I think you should take the time to check out the slideshow below, which will help you separate short-term noise from important long-term signals.
Image sources: Cal-Maine, CalAmp.
The article 2 Stocks That Could Make Huge Moves This Week originally appeared on Fool.com.
Brian Stoffel has no position in any stocks mentioned. The Motley Fool recommends CalAmp. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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