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.
Core-Mark
Core-Mark Holding Co. (CORE) recently was downgraded to Hold with a C+ rating by TheStreet's Quant Ratings.
This convenience store supplier has been clobbered since the fall and had an epic failure in November, dropping a massive 20% in a day. The stock has not come close to recovering and appears to have more downside to go.
The downtrend channel is in place and the cloud is red and heading lower. We could see the low $20s before too long.
This is a good short, but put a stop at $27.
Digital Realty Trust
Digital Realty Trust Inc. (DLR) recently was downgraded to Hold with a C+ rating by TheStreet's Quant Ratings.
This REIT that owns data centers had a tough time in October after peaking and falling sharply on some heavy turnover.
A lower high is evident on the chart, and while there is support around the $115 area it could be the next failure. The next likely target is $110, and with momentum pointing down that is a higher probability.
Weakness is pervasive, and that means lower prices, especially if the market weakens.
-- Bob Lang and Chris Versace are co-portfolio managers of Trifecta Stocks.
