Let’s cut everything below the buy zone in the GST Portfolio which means it hit our stop loss level for a loss.
Please take a moment to read my notes and reasons for cutting these stocks. I’ll try not to be too much of a cry baby. Hopefully you will find my observations helpful in your own trading and investing.
Stocks to cut are:
DTIL = Institutional investors are dumping the stock after the lock-up expiration from the IPO. They pumped it and now their dumping it. Institutional investors seem to be more bearish going into Q4 2019 than they were in Q4 2018.
DXC = Must be the most undervalued stock on the market. All the fundamental metrics look great but the stock keeps going lower as institutional traders unwind their positions. Somebody knows something and it’s not good for long investors as evidenced by the downtrending stock price.
FCEL = Was a high risk gambit from the start which didn’t pan out.
JKS = President Trump is bringing back tariffs on China solar panel imports. JKS owns a Florida plant so not sure how that’s going to work but overall its a negative for China solar companies and a positive for US solar companies.
ZAGG = High risk stock bidding wars rumor was circulated by the New York Post that turned out to be false. Should have listened to President Trump about the New York Post being fake news ;). If a Recession is coming, people will go without smartphone protectors for sure.
WSG = Successful short-term swing trade as I originally wrote. Should have taken it off the GST Portfolio when we nailed the trade. Forgot and accidentally left it on. I will add a notes field to the portfolio to more easily identify short-term swing trades like this.
ORN = President Trump told us that Democrats are blocking most infrastructure spending projects so heavy construction companies like ORN are unlikely to see a pickup in sales before the 2020 election.
PDCE = Legal investigation was launched into the energy company PDCE just announced it was buying. With all the corrupt government officials and their ties to these energy companies, let’s dump this stock and stay out of energy companies right now. I don’t know what’s going on with this investigation into the company PDCE had announced that it acquired but it’s probably not good. “When in doubt, get the hell out” is my motto in this current market environment.