Which stocks are your watch list?

MichaelShulman answered 3 months ago …

I'm actually watching stocks that will allow me to play the short side by buying puts on them.

I always use a mix of inferior fundamentals and ChangeWave Alliance survey data to find my short-side plays and right now I'm closely watching names like Tiffany & Co. (TIF) because of their dependence on luxury items to hit sales figures.

I also think that eroding consumer demand could hit the PC makers, especially Dell (DELL) and Hewlett-Packard (HPQ), so they're on my watch list, too.

In terms of the financials, my ChangeWave Shorts subscribers and I already have a solid list of names to take advantage of the banking slide, but I continue to watch Lehman Bros. (LEH) and Bank of America (BAC) for new position possibilities. Right now, put premiums are a bit too high for me in these names -- I generally pick lower-priced puts to ensure I can put as much capital to work as possible.