Sell Short Bed, Bath, And Beyond And D.H. Horton

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

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

Daily Graph

Daily Histogram for May

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

Daily Graph

Source: https://www.forbes.com/sites/greatspeculations/2022/05/08/stocks-this-week-sell-short-bed-bath-and-beyond-and-dh-horton/