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The indices are likely to move lower. Important support levels have been broken and downside objectives have not been met. A tradable low is unlikely until late June. Here are short sale recommendations.
The short sales are derived from the S&P 500 screen below. The first column is the seasonal rank for May. The second screen is that of the current relative strength. The third column is the combined rank.
S&P 500 Screen
Here are the weakest stocks in the S&P 500.
Bed, Bath, and Beyond has been weak and is due to fall further. The monthly cycle is in a down mode and has been accurate in the last year. May has been a weak month, up only 47% of the time. The shares are likely to fall closer to $10.
Monthly Cycle
This reliable cycle is falling.
Daily Graph
Relative strength is hitting new lows.
Daily Histogram for May
The period from the 12th through the 20th has been exceptionally weak.
Blue: Average Percentage Change
Red: Probability of a rise on that day
Green: Expected Return (Product of the first 2)
D.H. Horton is also projected to be a weak stock. The daily histogram shows how bearish May is on a day-by-day basis. The daily bar chart depicts the weak relative strength. The share price is likely to fall closer to $65.
Daily Histogram for May
May has been a weak month for this home builder.
Daily Graph
Relative strength is weak.
Source: https://www.forbes.com/sites/greatspeculations/2022/05/08/stocks-this-week-sell-short-bed-bath-and-beyond-and-dh-horton/