This Day On The Street
Continue to site
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

5 Toxic Stocks That Could Sink Your Portfolio

BALTIMORE ( Stockpickr) -- Make no mistake, the broad market is in correction mode right now. The S&P 500 is heading into a fourth week of not making any price progress, and while the downside action hasn't been particularly painful (yet), the sideways action in stocks continues to grind at investors who waited too long to click the "buy" button on their brokerage accounts.

>>Beat the S&P in 2014 With the Stocks Everyone Else Hates

More important, it's the correction happening behind the scenes that's really giving back gains; individual names and specific sectors are faring far worse than the S&P right now. That's especially true in stocks that have been momentum winners up until now.

The tech-heavy Nasdaq Composite, for instance, has shed close to 4% in March, and it's technically positioned to roll over even further next week.

Must Read: A Speculative Biotech Catalyst Trade: ORMP

Put simply, owning specific "toxic" stocks could be hazardous to your returns as we head into April. So, which stocks are set to drag your portfolio the lowest in the next few months?

Today, we're taking a technical look today at five toxic stocks you should start selling.

>>5 Stocks Under $10 Set to Soar

Just to be clear, 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, sellers are shoving around these toxic stocks 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 in the weeks and months ahead. 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.

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

>>5 Big Trades to Brace for a Correciton

So, without further ado, let's take a look at five "toxic stocks" you should be unloading.

1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr 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

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free

Check Out Our Best Services for Investors

Dividend Stock Advisor

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
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
COST $146.29 -1.00%
F $13.45 0.98%
GTE $2.73 1.10%
TGT $78.78 0.83%
TI $9.77 -0.51%


Chart of I:DJI
DOW 17,711.97 +51.26 0.29%
S&P 500 2,048.86 -1.77 -0.09%
NASDAQ 4,708.4060 -8.6880 -0.18%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs