Yesterday I did a live trading session in which I talked about a sector in the stock market that is in big trouble. The stocks in it are all collapsing and the balance sheets have massive debts on them. You can watch the recording of this session here:
This Stock Market Sector Is Now Bursting – November Stock Market Update – Mike Swanson (11/12/2018)
I also released a special report on five doomed stocks that I am betting against to my private Power Investor members before the open on Monday. You can get the report by getting into the group and you will also then have my course on how to find stocks to bet against with the scans I use by going here:
http://www.wallstreetwindow.com/beta/targetposstocks.htm
Now I’m not going to promote this course for long, because this window to get into these five stocks trades is closing fast.
None of the stocks collapsed on the open yesterday, but by the end of the day one of them was down over 10%!
And that stock is in the sector I talked about in the video session. Even if the market made a miracle and rallied to a new high this sector won’t be doing that for years.
Now I’m more bearish on the market now than most. I admit that.
Last night I turned on CNBC and saw the “Fast Money” goonies predict a massive rally.
I don’t believe anyone should blindly buy a gap up this morning.
The DOW can bounce into Thanksgiving just like it did into the election last week, but the leaders of the Nasdaq are all broken now and dying. Apple has blown up and fell more on Monday. NFLX is fading. FB blew up in the summer. NVDA collapsed yesterday too.
NVDA is not a chart of a stock that is going to go straight up to the highs. At best it will spend months now going sideways to repair this damage. But it’s now in a stage four decline in which it is trading below its 200-day moving average so it’s going to act as resistance.
About half of the stocks inside the Nasdaq look like this.
Perhaps more surprising than the drop in NVDA (as it’s actually been lagging for months now) is what Goldman Sachs did yesterday.
Many individual stocks are blowing up every day.
The one I am short and put in my report fell 10%
Even if the market goes up next week more stocks will be blowing up than gapping up.
These are the trades now working in the market.
This is now a target rich environment for betting against junk POS stocks. Grab my course and get in my group now and join us:
http://www.wallstreetwindow.com/beta/targetposstocks.htm
-Mike
