TEX is a regular on the Dark Horse Hedge list of short candidates too…
Sabrient Select Opportunity Virtual Portfolio
July 15, 2010 – Sell Short TEX
The market is starting to feel very toppy and tentative. The Philly Fed disappointed this morning, and the market reacted poorly right away. With the risk more pronounced to the downside, and the market fighting resistance levels, I’m going to add another short position.
Terex Corp is an equipment manufacturer serving the construction, infrastructure, transportation, power and energy industries. It carries a STRONG SELL rating in the Sabrient Ratings Algorithm, and dismal Company Outlook Score of 2 and Value score of 24.
I am adding it as a Short position to the Select Opportunity Virtual Portfolio at a price of $18.58.
I’ll keep a tight mental stop of a closing price above Tuesday’s closing high around $19.10. This play should not move against us at all, so if it does, we’ll exit quickly.
Best Regards,
