• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Bruce Kamich
    • Doug Kass
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • TheStreet Smarts
  1. Home
  2. / Investing
  3. / Stocks

Bearish Bets: 2 Shaky Stocks You Should Consider Shorting This Week

These names are displaying both technical and quantitative deterioration.
By BOB LANG
Nov 29, 2020 | 09:00 AM EST
Stocks quotes in this article: COHN, ENTA

Each week Trifecta Stocks identifies names that look bearish and may present interesting investing opportunities on the short side.

Using technical analysis of the charts of those stocks, and, when appropriate, recent actions and grades from TheStreet's Quant Ratings, we zero in on five names.

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.

Cohen & Co.

Cohen & Co. (COHN)  recently was downgraded to Sell with a D+ rating by TheStreet's Quant Ratings.

The chart of the investment management company shows death by a thousand cuts. The stock continues to bleed and displays a narrow trend of lower highs and lower lows.

Money flow is weak, and now we are below the cloud, which spells trouble. The Relative Strength Index (RSI) slopes downward, and with stocks making all-time highs you avoid names with this bearish a trend.

If short, target the 200-day moving average (at $11), but it might take a while, so put in a stop at $20.

Enanta Pharmaceuticals

Enanta Pharmaceuticals Inc.  (ENTA)  recently was downgraded to Sell with a D+ rating by TheStreet's Quant Ratings.

This biotechnology company shows a similar trend channel of lower highs and lower lows. This is all-out bearish, as with a market showing all-time highs we should also see stocks near their highs. Enanta is far off, and when a stock isn't going up it's going to go down.

Moving average convergence divergence (MACD) has rolled over now, and the recent rally up to the 20-day moving average was poor and deflected. That's a bad sign, so if short put in a stop above the channel at $47 and ride it down to the mid $30s.

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.

Want to find out the other stocks we think look good short this week and how to play them? Click here for a trial subscription to Trifecta Stocks and get "Bearish Bets" each week!

-- Bob Lang and Chris Versace are co-portfolio managers of Trifecta Stocks.

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

At the time of publication, Lang and Trifecta Stocks had no positions in the securities mentioned.

TAGS: Short-selling | Investing | Markets | Stocks | Technical Analysis | Trading | Bearish Bet | Quant Ratings | Trifecta Stocks

More from Stocks

Inflation Reduction Act, BLS Employment Report, Hawkish Fed, Earnings, CPI, PPI

Stephen Guilfoyle
Aug 8, 2022 7:24 AM EDT

It's difficult to see how this bill is a broad win on inflation.

Fundamentals Matter. This Stock Is Poised for a Major Rally

Paul Price
Aug 8, 2022 7:00 AM EDT

In today's inflationary world where else can you buy something, which has vastly increased in value, for less than it sold for nine years ago?

When Did We Start Making Live Play-by-Play Calls on Wall Street?

Helene Meisler
Aug 8, 2022 6:00 AM EDT

How did we start calling bear markets -- and recessions, for that matter -- before we could really know? (And here's why I'm sticking to what the indicators and statistics tell me.)

Bearish Bets: 3 Stocks You Really Should Consider Shorting This Week

Bob Lang
Aug 7, 2022 10:30 AM EDT

These recently downgraded names are displaying both quantitative and technical deterioration.

I'm Banking on a Play in B. Riley Financial

Bret Jensen
Aug 7, 2022 7:30 AM EDT

Let me show you a covered-call setup in this investment management and financial services company.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 09:24 AM EDT PETER TCHIR

    Jobs Report Reaction: Incredibly Strong, But Questions to Ask

    An incredibly strong July jobs report. Not only d...
  • 08:54 AM EDT JAMES "REV SHARK" DEPORRE

    This Weekend on Real Money

    The Secret to Dealing With FOMO
  • 03:51 PM EDT REAL MONEY

    AMD Second-Quarter Earnings Live Blog

    Real Money's Eric Jhonsa covers 's second-quarte...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2022 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login