This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

5 Toxic Stocks to Sell Before Bernanke Talk Tomorrow

Stocks in this article: ACLMTCCHACGLSEMG

Agilent Technologies http://i.thestreet.com/files/tsc/v2008/photos/charts/121112_chart_Agilent.gif

It's been a tough year for Agilent Technologies (A). Despite an early 2012 rally, shares have been trending lower since February, dropping more than 12% since the start of that month. With the S&P 500 up more than 7% over that same timeframe, Agilent's underperformance speaks to some significant relative weakness in this stock. And now, Agilent could be pointed even lower thanks to a descending triangle pattern that's been shaping up in shares.

The descending triangle is a technical pattern that's formed by two levels: a downtrending resistance level above shares and a horizontal support level below them. Essentially, as Agilent bounces in between those two price barriers, shares are getting squeezed closer and closer to a breakdown below support -- when that happens, traders have a sell signal on their hands. Agilent's support level is $35.50 right now.

There's some extra significance to this setup in Agilent because it's already at the lowest point that this stock has seen in 2012. As this stock has demonstrated, stocks making new lows have some serious psychological ammo pointed against them -- after all, with everyone who's bought this year sitting on losses, investors are already looking for the most graceful exits they can muster. The sell signal on Agilent doesn't officially trigger until that $35.50 price gets broken.

2 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,711.15 +249.83 1.52%
S&P 500 1,954.57 +27.46 1.42%
NASDAQ 4,458.5230 +75.6760 1.73%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs