loader image

My 2 Bearish Stock Picks for September

by | Sep 13, 2021 | Stocks

Everyone knows the stock market is awfully choppy right now… 

I don’t see any major catalysts until after at least October, when volatility typically rises and markets look ahead to year-end rallies. 

Several signs point to a possible correction, but I don’t mean a major bearish market. So there’s no need to run for the hills just yet. This is just the healthy correction momentum levels need to pick up speed. 

While most traders tend to focus on fading stocks making all-time highs in situations like this, I have a better and time-tested approach… 

I buy stocks that are already weaker and breaking down! 

I do this because weaker stocks break down faster than stocks that are climbing higher. And with the markets coming off all-time highs like it’s doing right now, there are plenty of stocks I’m bearish on… 

2 Stocks I’m Bearish on for Fall 2021

Now, one of the major advantages of trading to the downside is the fact that stocks usually slide three times faster than they rise.

The stocks I’m bearish on for fall 2021 could give you a sustainable hedge in case you’re still holding long stocks, or don’t want to offset your positions during volatile periods. 

That’s because adding short positions to an all-long portfolio usually reduces risk because the weaker stocks drop faster than the strong stocks, giving you a natural hedge without experiencing massive drawdowns. 

So that’s why Campbell Soup Co. (NYSE: CPB) is the first stock I’m bearish on for fall 2021…

The processed food and snack company is down 3% in the past 12 months, and 22% over the past five years. 

This tells me CPB isn’t a momentum play by any means! 

But what’s most disturbing is that comfort foods have been in high demand for the past 18 months because most people have been eating at home due to COVID-19. So if the past year and a half couldn’t get the stock to rally, I doubt an even bigger catalyst will. 

Check out my short video below to get the next stock I’m bearish on for fall 2021 and to learn how you can potentially hedge your portfolio with these breakdowns. 

Don’t forget to subscribe to our YouTube channel if you haven’t already so you can be notified as soon as we post our next video! 

P.S. There’s a new stock market quirk Future of Wealth Head Trader Lance Ippolito is calling a “Blockbuster Breakout Date.”

And these dates are only tied to a certain group of stocks in an explosive part of the Health Care sector. 

That’s probably why most people don’t think to trade them… 

But the small band of traders who’ve been trading these “Blockbuster dates” beside Lance have already had the chance to cash in on some powerful winners…

I’m talking about gains like 115% on TEVA… 175% on BHC… and even 210% on CRMD!

Click here now.

WRITTEN BY<br>Roger Scott

Roger Scott

What to read next

99 Problems and a “Pivot” is One

99 Problems and a “Pivot” is One

A friend of mine sent me this chart about three months ago. I should probably print it and keep it in my wallet next to a photo of my daughter. Given the sheer number of questions I’ve fielded lately, I’ll probably end up showing this chart more than her picture.

read more
Everything Everywhere, Going Down, All At Once

Everything Everywhere, Going Down, All At Once

When our momentum reading went negative last week, I didn’t know that we’d have the second largest bank failure in U.S. history three days later. All I knew was that it went negative… and that we got out of the way.

read more
Trust But Verify…

Trust But Verify…

I want to talk about our version of “Trust but Verify” in the markets. Qualification is the most important part of the investing process. And this F score value strategy looks to be crushing the current market.

read more

Have any questions? Contact Our Customer Service Team