6 Stocks to Sell in January

Stock to Sell #3 – Chipotle Mexican Grill (CMG)

Chipotle Mexican Grill (NYSE:CMG), an operator of casual Mexican fast-food restaurants, has over 1,300 locations in the United States and Canada. Same-store sales growth is projected to be 2% in 2013, compared with 6.5% in 2012.

In July, the stock broke down plowing through its 200-day moving average on a breakaway gap. In October, the stock broke through a quadruple-bottom at $280 on a huge continuation gap and again with high volume. The stock is in a bear market with immediate resistance at just over $300, where it closed on Jan. 4. Sell CMG at the market or short it with a trading objective of $240.

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