More Sell Alerts

It looks like the rally may be coming to an end for some of my long positions, so I am going to sell them and replace them with better alternatives.

Here are the stocks that I am getting sell alerts on, which I will sell at the market:

FIZZ, PRAH, DY

FIZZ and PRAH are both about 3-5% in the green in my 2 days of holding, while PRAH lagged behind about 5% and is down about 7% today. Overall, the sales will result in a gain, which is the obvious goal.

Here are the stocks that I am replacing them with. If the market decides to run a little, these can be expected to outperform with their current momentum:

Box (BOX), Balchem Corp (BCPC), Amc Entertainment (AMC), Intrexon Corp (XON), The AES Corp (AES)

Sell Signals

I am also selling the following due to the sell signals that I have received on the stocks:

WPZ, PAA, MU, LGND

For all but WPZ, this is good for cutting losses. MU was by far the worst of the group, with about an 8% loss.

A Few More Trades

With the current state of the market, I am going to add some more short positions, hedged with a couple more long trades, but not as many. Just as a risk-reducer.

Here is the reason that I am adding more shorts today. With the way things are going, it won’t be long before I’m stopped out of a few of my current short term long trades. Just in case that does happen, I want to have some gains mixed in there, too. The best way to do that? Shorting weak stocks with downward momentum. Pretty simple.

Here are some that don’t look too promising for the near future:

Tesla (TSLA), Jd.com (JD), Mobileye (MBLY), Tesoro (TSO)

And for the long hedges:

Under Armour (UA), Tyco (TYC)

Here’s what I am doing:

I am shorting TSLA, JD, MBLY, and TSO at the market.

I am buying UA, TYC at the market.

 

Trades This Morning

The stock market is down again this morning, most likely due to falling oil prices, which failed to break $33/barrel. At this rate, they could be headed to the low to mid $20’s range within a few months.

A couple of the stocks in my short list have fallen quite a bit over the past 2 days, and it’s time to cover them. The ones I am referring to are Bitauto (BITA) and Terex Corp (TEX). These stocks are down about 8-9% over the past two days, which is awesome when you’re short.

Unfortunately, I was stopped out of Avis (CAR) due to missed quarterly revenue and bad forward guidance (which has been the case with a ton of stocks recently), but thankfully the stop loss prevented further losses, and the stock is down another 5% since then. CAR was sold from the portfolio at a 15% loss at $25.07.

I am covering Bitauto (BITA) and Terex (TEX) at the market.

Sell Day Trades

Yesterday at the close, I bought 4 stocks to hold overnight that I hoped would carry some momentum into this morning. I am looking to sell them around the time of the open this morning, and the results will be posted in the closed portfolio once the trades are executed.

I am selling FREE, INAP, XNY, AND EVLV at the market on the open.

Covering Anacor Pharma

Not much time left till the market closes, and as usual, I’d rather close now and lock in profits. Covering Anacor (ANAC) after the stock plummeted 11% today. Luckily, I was on the winning side of this one.

I am covering Anacor Pharmaceuticals (ANAC) at the market.

Overnight Momentum Trades

I have gotten a few signals to buy small and micro cap stocks that have been due for a bounce, and finally gathered the momentum to do so. These go under my “Day Trade” category because I typically will just hold them overnight and sell them first thing the following day. It is 100% based on catching a very short term momentum bounce due to being so oversold. The stocks are:

FreeSeas (FREE)

Internap Corporation (INAP)

China Xiniya Fashion Ltd. (XNY)

EVINE Live Inc (EVLV)

I am buying these at today’s close, so my entry prices are going to be today’s closing prices.

Sell GameStop

Once again, seasonality has come through for me. GameStop (GME) is up again today, even though the market is down about 1% overall. I think this is a good point to sell, given the stock’s long term downtrend.

This stock was just one of 2 seasonal plays that I had going (although there will be some more of that this week), the other stock being Activision, which was sold this morning for a 7.5% gain. GameStop is hovering around 6-6.5%, so overall the seasonality plays yielded about 7% in just one week. To put that in perspective, the S&P 500 is only up about 1.7% in that time frame. And I’m all about outperforming.

I am selling GameStop (GME) at the market.

Sell Activision Blizzard

Over the past week, Activision Blizzard (ATVI) has been right on track with its seasonal trend, resulting in about an 8% gain during that time. Of course the market rally helped some, but Activision still outperformed, which is always good.

As nothing goes up in a straight line for too long, I think we are at a decent selling point here for a quick gain in a shaky market.

I am selling Activision Blizzard (ATVI) at the market.

This Week’s Picks

I’m going to try and begin each week with a bunch of stock picks based on the buy and sell signals that I get. Keep in mind that this is different for each stock: just because the market looks like it’s going to rally means that I get more buys or sells than normal. It’s all based on the trends or seasonality of each stock. I try to have a good balance of buys and sells to hedge any unexpected movements in the market as well.

That being said, it looks like the market is still in rally mode, with today’s gains being propped up by news that U.S. shale production is projected to drop through 2017. Apparently everything with OPEC is alright now, according to the market movement. Never mind that the Middle East can’t come to agreements in oil production, right? It’s strange how the markets are so closely tied to such a narrow scope/range of news on oil. Never mind the uncertainty behind the possibility of Great Britain leaving the European Union. Looks like that could be decided on June 23rd, and it should be interesting to see how the markets react.

Anyway, here is my list of buys and shorts for this week:

Short Term Buys (15% Stop Loss):

Micron (MU), The Dow Chemical Company (DOW), Hewlett Packard (HP), Williams Partners (WPZ), Plains All American Pipeline (PAA), GoPro (GPRO), Avis (CAR), Rackspace (RAX), Canadian Solar (CSIQ)

Short Term Shorts (15% Stop Loss):

Endo Int’l (ENDP), Netflix (NFLX), Alexion Pharma (ALXN), Dish Network (DISH), MPLX LP (MPLX), Textron (TXT), Mediviation (MDVN), Paycom (PAYC), Yelp (YELP), Bitauto Holdings (BITA)

Option Bull Spreads:

McDonald’s (MCD) Jan 17 115 calls, 95 puts

Constellation Brands (STZ) Jan 17 150 calls, 105 puts

Adobe Networks (ADBE) Jan 17 80 calls, 65 puts

Salesforce.com (CRM) Jan 17 60 calls, 50 puts

Option Bear Spreads:

Verizon (VZ) Jan 17 55 calls , 57.5 puts

Johnson and Johnson (JNJ) Jan 17 110 calls, 115 puts

Exxon Mobil (XOM) Jan 17 87.5 calls, 95 puts

International Business Machines (IBM) Jan 17 140 calls, 155 puts

Honeywell International (HON) Jan 17 115 calls, 125 puts

Fastenal (FAST) Jan 17 47 calls, 55 puts

Longer Term Buys (20% Stop Loss):

Ligand Pharmaceuticals (LGND), Dycom Industries (DY), National Beverage Corp (FIZZ), PRA Health Sciences (PRAH), Orbital ATK (OA)

Longer Term Shorts (20% Stop Loss):

Tarvelport Worldwide (TVPT), Terex Corp (TEX), Brocade Communications (BRCD), Choice Hotels Int’l (CHH), Urban Outfitters (URBN), ADT Networks (ADT), Hyatt (H)