April might be the cruelest month, but it promises to be especially nasty for certain stocks if history and technicals are any guide — and that makes them stocks to sell.
The market sure isn’t doing much this year, and that makes a good argument for taking a more active approach when it comes to your portfolio. Last year was simple. The S&P 500 added 30% for 2013. A set-it-and-forget-it approach to investing delivered excellent returns.
This year, however, the S&P 500 is up just 1.3% through the end of the first quarter. No, no one is expecting a repeat of last year’s run, but at this rate stocks will come in below the consensus forecast for a 6% gain.
That’s not much of a year. To have any chance of beating that slim market return, it’s imperative that you sell your losers before they drag down everything else.
There are a number of stocks that look like losers for April, but some look much weaker than others based on historical performance and current technicals. These names need to be jettisoned now.
Here are the top 5 stocks to sell in April: