Bearish Bets: 3 Popular Stocks You Should Consider Shorting This Week

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Each week we identify names that look bearish and may present interesting investment opportunities on the short side.

using technical analysis of those stocks’ charts, and when appropriate, from recent actions and grades Street’s Quant RatingsWe zero in on three names.

While we won’ weigh in with fundamental analysis, we hope that this piece will point investors interested in stocks in the way of a good starting point for doing further homework on the names.

Live Nation performs poorly

Live Nation Entertainment Inc. (LYV) was recently downgraded Sell with a D+ by Street’s Quant Ratings,

The concert and ticketing giant is a serial offender, often making a big move only to be downgraded. This happened this week with Live Nation, which came in touch with its 200-day moving average last month and has just broken away.

Money Flow is bearish while we also see a Moving Average Convergence Divergence (MACD) crossover. The Relative Strength Index (RSI) is trending down on a steep slope, which is telling us that more downside is on the way.

The bleeding may end soon, as Live Nation has some support at the November low, say $66. However, an aggressive trader could continue to ride through it, if patiently targeting the mid-$50 range. We’ll treat this as a trade here, but place a stop at $74 in any case.

Constellation brand falls flat

Constellation Brands Inc. (STZ) was recently downgraded grasp With a C+ by TheStreet Quant Ratings,

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The producer of beer, wine and spirits has had a bad month, making lower highs and lower lows on fairly strong turnover. Money flow has turned bearish and the RSI is trending down at a sharp angle. That too is bearish.

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Constellation Brands’ price action is terrible, much worse than the rest of the market. There is little support between the current levels and the January low, so a good would be below around $205. If needed, place a stop at $230.

The chart is extremely bearish and we would not be surprised to see the January lows being erased.

metal is not swell

Mattel Inc. (MAT) was recently downgraded grasp With a C+ by TheStreet Quant Ratings,

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Big toymakers’ chart is dire, price action reflects bearish sentiment. The trend on Volume is extremely bearish, while we have turned negative on Money Flow. It goes to show that big institutions are selling names.

There is some support around the December lows; Which comes in around $16. The cloud is also red, which tells us that the trend has shifted to bearish. If short, the $15 area, with a stop at $19.50.

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