25 Stocks to Dump Right Now

Intel and UnitedHealth have retreated from recent highs

Feb 6, 2018 at 3:08 PM
facebook twitter linkedin

It's been a bloodbath on Wall Street in recent sessions, with the Dow fresh off its worst one-day point loss ever and the S&P 500 Index (SPX) notching its first back-to-back drops of 1% or more since early 2015. And while history suggests quick bounces for both indexes -- and says this pair of Apple suppliers are two of the best stocks to own after a sell-off -- there are several names that may not be ideal for a "buy the dip" trade, including Dow stocks Intel Corporation (NASDAQ:INTC) and UnitedHealth Group Inc (NYSE:UNH).

worst spx stocks after a selloff

Looking back to 1986, Intel stock has been higher just 42% of the time one month out following the last 19 big S&P pullbacks, averaging a loss of 1.8%. Since hitting a 17-year high of $50.85 on Jan. 29, INTC shares have sunk 14% to trade at $43.69 -- erasing Monday's Apple-related intraday gains -- breaching recent support atop their 80-day moving average.

Dow stock UnitedHealth gapped lower last week on news of a high-profile healthcare partnership between Amazon (AMZN), Berkshire Hathaway (BRK.A), and JPMorgan Chase (JPM). UNH shares have now shed 12.5% since their Jan. 29 record high of $250.79, and more losses could be on the horizon. After the last 19 massive SPX drops, UNH stock has been lower 58% of the time one month later, averaging a loss of 2%. This would put the shares below long-term support at the 120-day trendline.


Stop leaving money on the table with the same old broken options trading approach...

There is no options strategy that more perfectly capitalizes during earnings season better than this simple call and put buying strategy. Perfect for aggressive traders looking to recover their suffering portfolios so far in 2022. With the simplest possible options strategy, Schaeffer's team with 100+ years of options trading excellence, target 200% gains on every single trade. So many trades are being beaten down by the market, but don't be one of them! Don't waste another second... join us right now before the next trade is released! 

Schaeffer's Daily Bulletin Offer


Special Offers from Schaeffer's Trading Partners