WTW- Weight Watchers Weight Watchers started its run-up in Mid October and has gained a whopping 300% in a little over a month. Considering the stock seems to be holding at these levels; I do believe there is still upside potential but with a gain of 300% in a months time; I don't believe the fundamentals warrant such an increase in the long term. I am looking to initiate a short position in this stock in the upcoming weeks. I am currently long from 25.30.
GLUU- Glu Mobile From a technical perspective Glu mobile is looking attractive as a short term long. Glu mobile is hovering around support at $3 and in the past, when the stock gets to this level; the trend usually reverses to an upward trajectory. If the stock can reclaim $3 with volume and hold; I see the stock pushing to $4 or $4.50 with the upcoming Q4 launch of anticipated mobile games, Katy Perry Pop and Kendall and Kylie (Keeping up with the Kardashians). With that said; the stock has been in a steady decline since May of 2015; and the projected outlook for fiscal year 2016 is tempered. Beta launch of the companies anticipated darlings KPP and KK have not performed as anticipated; barely cracking the charts in terms of grossing. 2016 does hold a promising line up but until the dust has settled; I do believe we see more downside. No current position.
ATV- Acorn International This stock is up a whopping 1700% from it's 52 weeks low. This run up happened in the last 5 days and truthfully, a rise like this is highly unsustainable. With completely no institutional ownership (as per google finance); I am looking to initiate a short position. Considering the float is relatively low, active monitoring is a must. Short position to represent no more than 1% of my investment capital.
KBIO- KaloBios Pharmaceuticals Inc This stock should be well known at this point. Yet another biotech going from $2 to over $45 in a matter of 2-3 days on news that investor Martin Shkreli acquired 70% of the company's outstanding shares. I will continue to say it; these types of quick run-ups aren't sustainable in the long term. I see more downside than upside at this point. In the short term, 20% profit can be made by shorting this stock. Considering the float is only around 4 million; I wouldn't hold this short overnight and I would be mindful of position sizing (1-3% of entire trading capital).
M- Macy's Stock has been in a steady decline for the past few months on weak consumer spending. In the short term though, I see plenty of upside. Once the buzz hits that consumers are spending for the Holidays and the changing season; I think investors will start to remember that Macy's is in it's historically best quarter (4th quarter). Stock remains in a range ($37-$39) and appears to be consolidating for it's next power move. Because of the reasons I outlined above; I do believe that move is up. I am accumulating shares within this range. I am NOT all in but selling seems to be drying up. Once buying dominates; I am loaded up on a full position. My stop loss is lock and loaded if my thesis is wrong and/or the market turns.
WFM- Whole Food Markets
Despite depressed oil prices and the fear that the Feds will raise interest rates this week for the first time in nearly a decade; Whole Food Markets have managed to steadily increase over the past few days. It seems ready and poised to break out. I am watching this from purely a technical perspective. If WFM can hold and maintain a share price of 34.50 with decent volume; I am a buyer at those levels. As a responsible speculator; my risks will be calculated before opening a position.
SUNE- Sunedision Inc
Depressed oil prices seems to be working in the favor of Solar companies. While extremely battered down from a 2015 high of about $53 and currently sits at a little under $4. Fundamentals remain questionable but from a momentum perspective; it seems as though SUNE is picking up. I will monitor trading this week and if momentum pushes this stock above 4.40; and/or if 3.90 can hold in such a depressed market. I see a potential upside north of 100%
OMER -Omeros Corporation Despite the markets poor performance; this darling managed to increase by 7% on Friday. The last time this stock moved insanely (mid August); it managed to go from $14 to $32 dollars in just one week; representing an increase of over 125%. For those looking to play the markets this week; this is a potential gapper.
SUNE- Sunedison Inc This stock has done nothing but go up for the past few days; after hours trading saw pretty decent volume. If these levels hold; the next level of resistance is $8.
JRJC- China Finance Online Co. (ADR) Gained about 2 points in one trading session on news that " it has received RMB154.9 million (approximately US$24.0 million*) from its investment in the Langfang real estate project, including fully recovered principal of RMB137.9 million (approximately US$21.7 million**)" Despite the down market, this stock has held its own. I anticipate a Monday morning pop, followed by a fade. I wouldn't play this out the gates; I would wait for it to find a rhythm.
RWLK-Rewalk Robotics Ltd This stock has increased almost 100% in just 2 trading sessions; talk about a raging bull. If you take a look back in the year; this stock has the potential to run all the way to $23 but despite it's recent run; I think this gem is losing steam. Pay very close attention to the $14 area. If the stock struggles to sustain that area; it will confirm the slowing of this run.
SPY, IWM, DJIA, SPXU, QQQ
The Feds decision to raise interest rates on 12/16/2015; resulted in a market mini-rally; since then however, the overall market has been in a steady decline. Since the Fed's decision to increase rates by .25%; the Dow, S&P and NASDAQ have declined by some over 3%. That's not the only point of caution going into next week. The markets are essentially where it was about a year ago; signaling an intense battle between the bulls and the bears. I am hesitant to take any new position in the markets considering the choppiness that has gone on. The take away is; remain cautious with your investments. I am currently short the S&P via SPXU
ADMS- Adamas Pharmaceuticals, Inc. Stock is up over 100% in less than a week on positive phase 3 data. Considering this drug isn’t on the market as of yet; and still has to pass FDA approval; I think this run-up is overdone. There might be more upside but when I place my chips; I am placing it on the short side.
CNIT- China Information Technology, Inc Since receiving a notice from the NASDAQ on Nov. 23, 2015 indicating the company has failed to maintain a minimum share price of $1 per share; this company’s stock has increased to the tune of about 300%. Closing price on Dec. 24th was $2.27. Shorting this at the right level can net you anywhere from 10-30% in a short turnaround. Premarket action and Monday’s open should dictate when this becomes a good short.
JRJC- China Finance Online Co., Ltd. While the share price continues to increase; the volume over the past few days continues to decrease; signaling a drying up of buyers. I can’t imagine this has more room to run. Shorting should provide nothing less than 10% return.
OMER- Omeros Corporation Still on my watchlist for a potential run. It’s above the 50 day moving average and inching up slowing. All very bullish signs. If this stock can get pass and maintain above 16.50; I believe it starts its run. If the run does happen; I believe the first full week of 2016 would be the time.
RWLK- ReWalk Robotics Ltd. This stock is on fire, it saw a high of 17.21 on Christmas Eve and a week prior to that, it traded as low as 5.95. That’s a run up of over 200%!!! This stock may continue its uphill climb but I see more monies being made on the downside. In shorting; patience is key. You don’t need to be the first one to the party; confirmation of a downside is more important than trying to pick a top.
LEI-Lucas Energy, Inc. This company had a huge run up on Friday, opening at 1.85 and running all the way to 10.65 on talks of an acquisition. That’s a run-up of over 400%. Talk about a Happy New Year. To put that in perspective; if you invested $500 in this company at opening price on 12/31 and sold it an hour or so later, you would have made over $2500 in an hour. That’s the beauty of the stock market and why I LOVE it. With that said, I am placing this on my watchlist this week. If you’ve followed me for sometime, you know that “shorting” is my niche and I look to short huge unsustainable run-ups like this. This time however, it’s super important to get confirmation that this run-up is done. Despite the drop, there are only a little over 1 million shares outstanding (according to Google finance) and that means getting caught in a short squeeze if you’re too early shorting. Let the stock tell you (in the opening hours) what it wants to do and ride the wave.
Are you tired of the New Year, New Me mantras? Knowing that “losing weight”, is a part of millions of individuals New Year’s resolution, I am looking to capitalize on weight loss season for the next few weeks; and for me, that means looking at stocks that have anything to do with weight loss. I am looking at ARNA, WTW, PLNT and FIT
ARNA- Arena Pharmaceuticals, Inc. Yes I am aware that the stock has been in a steady decline for the past 2 years (since approval of it’s weight loss drug Belviq). Sales have been dismissal, but even with that, from a technical perspective; this is looking like a long. This play isn’t buy and hold forever. As usual, I am looking to capture a move. A move that can give me a quick return on my principle. I usually start to unload if I get a 10% move. The stock is range bound now. I am looking to hold this for 3-4 weeks long, or until my thesis is proven wrong (based on the chart).
WTW- Weight Watchers International, Inc. Ms. Oprah is at it again. I warned on twitter and stocktwits not to short this stock as of yet because we are going into weight loss season and because Oprah is backing this. My thesis hasn’t changed. I believe the stock will increase some more, especially since commercials featuring the talk show host started airing last week. Do I think Weight Watchers is worth its current price? No! In the long term, do I think this will drop to single digits? Yes, I do. But I don’t believe that time is now. I expect Oprah and company to squeeze a few more points out the market.
PLNT- Planet Fitness, Inc. Another weight loss play. I do believe Weight Watchers is the better play but I do see the tides lifting this boat. Long at the right price.
FIT-Fitbit Inc This stock had a huge fall from grace and is down about 40% from its all time high of $51.90. I like the product and this is looking like a long based on the past two weeks price action.
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