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.
This big biotech name has a wicked poor chart. Volume has been tremendous on the down days, and while it seems the $300 level may be support Regeneron just cannot get any traction.
We see a series of lower highs and lower lows and momentum is pointing down. The Relative Strength Index (RSI) is weak and the cloud is red and opening.
This is a rare bird, well below the December lows. If the $300 level breaks a slew of selling is going to happen. It's currently top of the range, a good spot to sell.
The watchmaker's chart shows a big gap lower last month with follow through, which means big institutions are selling with zest. RSI is poor while money flow is expanding bearishly.
Moving Average Convergence Divergence (MACD) is on a sell signal. While this stock is wildly oversold and due for a bounce, that would be a good chance to get short.
MOV is heading into the teens before too long.
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.