Stock to Sell #3 – Nokia (NOK)
A weakening European economy and increased competition from Android-based smartphones and the Apple (NASDAQ:AAPL) iPhone are negatives for Nokia (NYSE:NOK). Earnings have fallen for four straight years and could fall again in 2012.
Technically Nokia’s bear market is still in force. The stock failed to penetrate its bearish resistance line in October and again in February, and is likely to break down through the support at around $5. And the MACD flashed a sell signal late in February.