Bearish Bets: 3 Stocks You Should Consider Shorting This Week

These justrecently devalued names are showing both quantitative and technical degeneration.

Stocks quotes in this post: RH, MGA, TGH

Each week we recognize names that appearance bearish and might present intriguing investing chances on the brief side.

Using technical analysis of the charts of those stocks, and, when proper, current actions and grades from TheStreet’s Quant Ratings, we absolutelyno in on bearish-looking names.

While we will not be weighing in with essential analysis, we hope this piece will offer financiers interested in stocks on the method down a excellent beginning point to do evenmore research on the names.

RH 

RH (RH)  , the previous Restoration Hardware, justrecently was reduced to Hold with a C+ ranking by TheStreet’s Quant Ratings. 

7826055b b671 11ec bba4 af4b188070c7

Fresh off a bad revenues report, the high-end house décor merchant continues to relocation lower on high turnover. RH hasactually been penalized giventhat putting in a high last winterseason, and honestly the heavy selling in December was a excellent idea this stock would be reversing lower. Not even a 3-1 stock split statement is assisting this name.

Money circulation is weak and the rate action is bearish. Need I state more? The cloud is red and moving average merging divergence (MACD) is about to cross for a sell signal.

Target the $295 location, put in a stop at $350. 

Magna International 

Magna International (MGA) justrecently was reduced to Hold with a C+ score by TheStreet’s Quant Ratings. 

8495764c b671 11ec bba4 51db99bee7c3

While the current relocation up in the stock of the vehicle provider was sharp, it was right into resistance (downtrend line). Money circulation is weak and the Relative Strength Index (RSI) is flexing lower, all bad qualities.

The cloud is red, the 20-day moving average has simply been declined and the March lows are in sight. We might see Magna make a run to the high $40s — that’s a excellent target location. Put in a stop at $66. 

Textainer Group

Textainer Group Holdings (TGH) justrecently was reduced to Hold with a C+ ranking by TheStreet’s Quant Ratings.

8ebfb22d b671 11ec bba4 2561fdc56ab4  

The stock of this holding business dealing in intermodal containers is range-bound however about to get unsightly. The pattern line was damaged the other day while MACD and cash circulation flashed a bearish indication. Notice the head-and-shoulders leading and now the break of the neckline — not excellent here.

The December lows are now in play; call it $32 or so. We believe the September lows around $30.60 are even a muchbetter target, however put in a stop at $38.50 simply in case.

Get an e-mail alert each time I compose an post for Real Money. Click the “+Follow” next to my byline to this post.

More from Stocks

efe4d94e c755 11e8 8d23 75bc2660ce1a

I’ve Got the Secret to Successful Day Trading

Wall Street elites like to scoff at this fast-moving design of investing, however those who use the right method and work difficult — while understanding when to hit the exits — can make out well.

Real Money’s message boards are strictly for the open exchange of financialinvestment concepts amongst signedup users. Any conversations or topics off that subject or that do not promote this objective will be eliminated at the discretion of the website’s mediators. Abusive, insensitive or threatening remarks will not be endured and will be erased. Thank you for your cooperation. If you have concerns, please contact us here.

Email sentout

Thank you, your e-mail to hasactually been sentout effectively.

Oops!

We’re sorry. There was a issue attempting to sendout your e-mail to .

Please contact consumer assistance to let us understand.

Please Join or Log In to Email Our Authors.

Email Real Money’s Wall Street Pros for more analysis and insight

Already a Subscriber? Login

Source: Bearish Bets: 3 Stocks You Should Consider Shorting This Week.

Bearish Bets: 3 Stocks You Should Consider Shorting This Week - Click To Share

Share on facebook
Share on twitter
Share on reddit
Share on linkedin
Share on email
Share on whatsapp

Other recent press releases

*This is a free press release. All upgraded press releases are ad-free!

LIVE on May 17, 9 AM ET: First UFO Hearing in Congress

The House Intelligence Counterterrorism, Counterintelligence, and Counterproliferation Subcommittee will hold an open hearing on Unidentified Aerial Phenomena on May 17. Following the open portion of the hearing, the subcommittee will hold a closed, classified briefing. Who Honorable Ronald S. Moultrie, Under Secretary of Defense for Intelligence and Security Scott W. Bray, Deputy Director of Naval Intelligence…

Infertile men may be twice as likely to develop breast cancer, study suggests

Infertile men may be twice as likely to develop breast cancer than those without fertility issues, according to one of the largest ever studies of the disease.Breast cancer in males is less common than in females and its relation to infertility had previously been investigated only in small studies. The new research was published in…