BALTIMORE ( Stockpickr) -- Don't be fooled by last week's bounce -- some stocks are still looking toxic right now.
Despite a big bounce last Wednesday, the S&P 500 is actually down 0.14% since the Fed announced that the taper caper was off. If the end to QE was really priced into the market, as so many said, then stocks sure aren't showing it. While the broad market still looks bullish overall, owning weak individual names is still a big liability in this market.
That's why we're taking a closer look at five "toxic" stocks you should sell today. Now. To be fair, the companies I'm talking about today aren't exactly "junk."By that, I mean they're not next up in line at bankruptcy court. But that's frankly irrelevant; from a technical analysis standpoint, they're some of the worst positioned names out there right now. For that reason, fundamental investors need to decide how long they're willing to take the pain if they want to hold onto these firms this summer. And for investors looking to buy one of these positions, it makes sense to wait for more favorable technical conditions (and a lower share price) before piling in. >>5 Rocket Stocks to Buy for September Gains For the unfamiliar, technical analysis is a way for investors to quantify qualitative factors, such as investor psychology, based on a stock's price action and trends. Once the domain of cloistered trading teams on Wall Street, technicals can help top traders make consistently profitable trades and can aid fundamental investors in better planning their stock execution. So without further ado, let's take a look at five toxic stocks you should be unloading.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts