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. This week I highlighted stocks that were set to report earnings, and boy has that paid off.
as an earnings play. That stock is now up roughly 10% in two days. I would take profits. Even though Mac sales were great, this was a trade, so let's move on.
I also recommended
, which is set to report after the close today. This stock is already up 8% ahead of the report and with a massive short position. For that reason, I would sell
of my position. While I still believe that the online retailer will beat earnings handily, the risk vs. reward just is not there with the stock up 8%.
I also recommended
, which was a horrible call that I should not have made. The stock is down about $1, or more than 20%, since Monday's earnings report, and there may be more pain ahead for investors.
This weekly update also includes a new pick,
, which reports earnings on Thursday and has seen heavy call volume trading, particularly in the November $15 calls. This action triggered on our Stockpickr options screen. Clearly, investors are making a very risky but potentially very profitable trade on RACK as they think earnings are going to be great.
Just in case you missed this week's portfolio, 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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