Using recent actions and grades from TheStreet's Quant Ratings and layering on technical analysis of the charts of those stocks, Trifecta Stocks identifies five names each Friday that look bearish.
While we will not be weighing in with fundamental analysis we hope this piece will give investors interested in stocks on the way down a good starting point to do further homework on the names.
The gaming stocks have been pounded mercilessly as it appears the Grinch is coming for the holidays. These stocks usually do well around this time of year as they ramp up sales for Christmas time, but apparently Wall Street is not enthused.
Moving Average Convergence Divergence (MACD) has rolled over, the 200-day moving average is now big resistance and the Relative Strength Index (RSI) is bending lower. The recent break below $112 was very negative, so a rally up to there would be another good short chance.
This big biotech has taken it on the chin with all of the other names in the group. We see some potential support at the gap from June and midpoint bar also from June. However, there is that big sell volume bar from October that sticks out, and the recent close and follow-through below the 200-day moving average is not good.
Ultimately REGN could reach down to $319 or so, a short here is a good option.
This commentary is an excerpt from "5 Bearish Bets" a weekly feature sent to subscribers of Trifecta Stocks. Click here to learn more about this portfolio, trading ideas and market commentary product.
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-- Bob Lang and Chris Versace are co-portfolio managers of Trifecta Stocks.