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3 Stocks That Could Make Huge Moves This Week

By Brian Stoffel – Jan 10, 2016 at 8:22AM

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Quarterly results, plus lots of investors shorting, means volatility is on the horizon.

It's that time of the week again, Fools. I'm going to introduce you to three stocks that are primed for huge moves on Wall Street this week. The last time I made such a prediction, the average stock I singled out moved 8% during a single day.

What's the reason for these moves? All of the companies I talk about are heavily shorted--or have lots of investors betting against them--and all are reporting earnings. When these two variables collide, volatility is almost always the result.

But I don't think you should try to profit from this information. There's no telling whether these stocks will go up or down in the coming week. Instead, if you own shares of Fastenal (FAST -1.51%)Bank of the Ozarks (OZK -0.82%), or Alcoa (AA), I think you should check out the following slideshow to see what's really worth paying attention to, and what's just short-term noise.

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Photos: Fastenal, Bank of Ozarks, Alcoa

Brian Stoffel has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. 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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