Hot & Cold Stocks of 2013


Moby Waller Image Moby Waller Editor, Wyatt Research

With the volatile first week of 2013 over, Moby Waller of looked at what stock names are rallying and which are lagging, with some interesting results.

We ran a screen for liquid individual stock names, optionable and shortable, with average daily volume over two million and market cap over 10 billion. Because of the bullish nature of the year so far, we further refined the screen to find names on both side of the ledger.

In this case we further narrowed by checking for stocks that made a new 52-week high and had a 14 day RSI over 70 on the bullish side. On the bearish side the screen parameters are less strict due to the recent overall strength in stocks, it's companies that are down for the week and have RSI (14) below 40.

Remember that we tend to look for momentum trends to continue in our option trading-so what some may call an "overbought" strong reading on an oscillator or indicator like RSI (or Percent R, Stochastics, etc.), we would often look at that as a bullish reading of strength that is likely to continue (assuming other confirmations and setups are in place).

Take a look at the respective lists:

Strong 2013 Performance Stocks:

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Weak 2013 Performance Stocks:

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Some interesting names on these lists for traders and investors to consider for 2013 short- and long-term opportunities.