7 Great Stocks to Short with the Market Heading Down

Looking for stocks to short? Well, this list is for you.

With the market so volatile to the downside there are many easy plays that can yield you quick profits. The overall trend right now is bearish, so play the downside and you have a good shot at being a winner. The smart investor is always the successful investor.

Baidu.com (BIDU) Stock, $230

This stock was a great short candidate first with the move below $262.43, and again with the move below the 200 MA below $248.30. A key entry now would be with a pullback to the 200 MA, with a great cover price being $268.10.

Amazon.com (AMZN) Stock, $68.49

I shorted Amazon at $72 yesterday, current stop at $74.25. The stock was technically first a short with the fall below $73.37, then again with the fall below $72. My target for AMZN is $60.

Apple (AAPL) Stock, $122

Apple was a short yesterday with the fall below $126. The stock was trading horizontally and the fall to new multi month lows suggests lower prices yet to come.

Blue Coast Systems (BCSI) Stock, $23.59

Three short points on BCSI, first the fall below $26, then the fall below $23.87, and next coming up a fall back below $22. Look for strong distribution volume to confirm the trend.

Garmin (GRMN) Stock, $63.41

As I am watching GRMN intraday live the stock has pulled above $66.23 which signals it has begun to fill the gap range from February 5th. Technically making this stock a buy with target price of $71. On the short side look for a fall below $61.82 to make for a great entry.

Mercadolibre (MELI) Stock, $33.95

I liked MELI first with the fall below $40 which came with good distribution volume. Volume has been drying out now this week and the stock should see lower prices to come. Look for heavy volume to lead the way.

Humana (HUM) Stock, $73.18

What a great short entry this made yesterday with the fall below $75.57. MELI is currently trading down another few points today, and should test its 200 MA (or $69 - $70) in the near future.

Extra Notes: When shorting, look for small quick gains, not sizable long positions. If any short yields 20%, immediately sell and walk away. Limit your upside exposure to no more than 3 - 5%. A stock that has been heavily sold off can easily jump back up in price quickly.