Earnings reports started strong, but then stalled. About 60% of the S&P 500’s stocks have exceeded objectives — but many of the objectives had already been lowered.
With a new socialist government in France and turmoil in Greece, the Europeans have their hands full, and that means that the world economy is in jeopardy of recession.
Technically, warning flags are flying after breakdowns in the short-term and intermediate-term trends of the S&P 500 and Nasdaq.
It may not be time to “sell in May and go away,” but it is time to sell in May and wait for a better opportunity to enter the market since the technical picture is weak.
Here is our list of stocks to sell in May: