This Week's Rocket Stocks Portfolio Update

With the hedge fund industry at its lowest net-long position in five years, it is no wonder that every once in a while there is a massive snapback rally. Certainly, there was some bullish news that came out from the likes of Goldman Sachs (GS) and Wal-Mart (WMT), but the fact that this market is such a heavily shorted one only exacerbated yesterday's move to the upside.

Each week I write a Rocket Stocks column in which I try to identify stocks that could move much higher in the coming week, no matter how the market does. The Rocket Stock picks are primarily for people who like to trade around catalysts

This week's Rocket Stocks column and portfolio primarily featured stocks that I believe were oversold.

I recommended American Railcar (ARII) as a snapback play after the company reported slowed earnings. At one point last week American Railcar was trading $2 below cash levels. Now up more than 5% for the week, I would look to sell it here.

I also featured Crox (CROX) as a pure snapback play. Now up 5% today alone, I would look to sell it here. It's currently up 3.5%.

I also talked about Genesis Lease (GLS). With the stock up 3% since Monday I would sell it.

I also am going to take this opportunity to add a few more picks to the portfolio.

First up is Cleveland-Cliffs (CLF), which is down 24% from its high. Cleveland-Cliffs is the largest iron ore producer in the U.S. Continued consolidation in the mining space could attract massive miners such as BHP Billiton (BHP) and Rio Tinto (RTP) to Cleveland-Cliffs, which trades at just 8 times next year's earnings. CLF also got Jim Cramer's blessing a few days ago as he called it "a world-class iron ore company."

Also, making this week's portfolio update is Motorola (MOT). Recent reports show that Carl Icahn's hedge fund is down 2% for the year and with year's end approaching quickly, Icahn is going to try and improve his performance. Look for the activist investor to push for change at Motorola, be it getting a seat on the board, or even shaking up management.

For the entire list, visit the Rocket Stocks for the Week of Nov. 12-16, and for even more ideas, check out the Top 10 Retail Rocket Stocks, both at Stockpickr.com.

At the time of publication, Altucher and/or his fund had no positions in stocks mentioned, although positions may change at any time.

James Altucher is president of Stockpickr LLC, a wholly owned subsidiary of TheStreet.com and part of its network of Web properties, and a managing partner at Formula Capital, an alternative asset management firm that runs a fund of hedge funds. He is also a weekly columnist for The Financial Times and the author of Trade Like a Hedge Fund, Trade Like Warren Buffett and SuperCa$h. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Altucher appreciates your feedback; click here to send him an email.

TheStreet.com has a revenue-sharing relationship with Trader's Library under which it receives a portion of the revenue from purchases by customers directed there from TheStreet.com.