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 stock of this provider of compliance platforms has been in a nice uptrend since bottoming in March, but it seems now the rug is about to be pulled out from underneath. With a sharp drop earlier this month Workiva is starting to feel some heat, and the sellers are starting to provide it.
Money flow is poor and the moving average convergence divergence (MACD) is on a sell signal. This could take some time, but a short seems right here. If short, put in a stop at $60 and ride it to the 200-day moving average (near $45).
Goldman is a star in the investment universe but the chart says it reeks of a foul odor. The stock recently has been sold by Warren Buffett, and if he won't hold it, why should you?
The stock has a series of higher lows and lower highs, a textbook pattern of no trend. But check out money flow, which is uber-bearish. The Relative Strength Index (RSI) is holding on by a string but that may not last too much longer. If the cloud turns red a substantial move down is probable.
If short put in a stop at $210.
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.