Each week at Stockpickr, we look for short-term catalysts and snapback plays that could move specific stocks higher in the coming week, no matter what the market does.
I present these picks each Monday morning in a "Rocket Stocks for the Week"
On Tuesday, the minutes of the Sept. 18 FOMC meeting appear to support the idea that the
remains poised to cut interest rates again. This fueled a nice rally, sending most of our Rocket Stock picks much higher.
These picks are for the short term, meaning investors who buy these stocks based on these catalysts should hold them for no longer than a day or two (or until the catalyst has triggered). Unfortunately, selling stocks and locking in gains is one of the toughest things for investors to do; that is why I started writing this weekly update.
I would sell out of
; which I highlighted Monday morning as an earnings play. Estimates proved to be too low, as investors seemed to forget about the company's global growth story. Those who bought on my recommendation Monday are up about 10% in two days.
I would also sell
, which I highlighted on Monday as a snapback trade. Shares are up 13% in two days, so it's time to lock in those gains.
I would also sell
, which I also highlighted Monday as the next Chinese stock likely to rally. Shares climbed more than 20% by Tuesday and are now up 11%. The stock still trades at five times cash flows.
This week's update also includes one additional stock. Let's take a look:
easily broke through $100 a share Tuesday on heavy volume. Investors are betting this technology is the wave of the future, and that VMW can handily profit from such an industry expansion.
is still insanely cheap (compared to its position as VMW's parent company), VMW is the "trader's" stock that has momentum right now.
In case you missed this week's Rocket Stocks, check out the
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
. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Altucher appreciates your feedback;
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