My Power Stocks System tracks the most volatile, liquid candidates for option trading or short-term stock trading each week…but along with those strong names, I uncover the duds of the stock market too. The stocks I put on sell watch are in bearish trends that still have a great deal of downside left.
I would recommend selling these names on any further weakness, or buying puts if you can find an undervalued, liquid option.
- International Paper (IP) is on the verge of accelerating its downward descent. As of the Friday close, it was trading at $45.35, just below its $45 resistance level. My system has rated volatility for this stock at 28, slightly above the average rating of 20.
- Louisiana-Pacific Corporation (LPX) is among the weakest stocks I follow. Currently trading at $16.72, the stock’s resistance is at the $19 level and volatility is high at 35.
- Weyerhauser (WY) is another very weak stock, but has lower volatility at 26. It is currently well below its $31 resistance at $28.29.
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