Stocks stabilizing with their low price

Aside from a limited number of existing long positions, our stocks are cycling into two main categories depending on whether stock-specific institutional investor sentiment remains pessimistic or is turning optimistic.

Those stocks investors bought early 4 weeks ago and quickly exited for loss (hurt by the “falling knife”) continue to decline, providing gains in short positions re-entered just last week and leading new weekly lows to continue outnumbering new weekly highs.

Many other stocks, however, having stabilized within their low price trough, are beginning to rise, leading to more uptrend trading signals (buy to covers and buys) this week than downtrend signals, a potential sign of more uptrend trade signals to come.

With so many recent trades among our stock list, only a few positions are of 10 weeks duration or longer.
Major Indexes remain negative on the year, although they did reverse direction to the upside last week.

Highlights: 2 new weekly highs, although no double-digit long gains yet.

10 new weekly lows, many of which are from last week’s new short trades. Double-digit short gains in: ADXS +21% (first week), CVTI +11%, HPQ +19%, MAT +10% (first week), NVIV +11% (first week) and XOXO +12%.

Stock list changes: Several deletions pending exit from current trades, adding AMN Healthcare Services (AHS) [business services] with a past 15 month compound trading return of +110.5% and trade indicated.

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