DRYS ,EXM,GNK – More Downside Ahead?

These are the names I have been playing from the short side with great success of late. On Thursday the Baltic Dry Shipping Index, a key indicator of shipping rates, fell its most for a single day since 1989. It fell 4.6% or 384 points. The index has now fallen 28% since it peaked in November. This not only indicates the weakness in our economy but could be telegraphing strong weakness globally. It also flags the possibility of a downturn in commodity prices. I don’t know if this is a baked in statistic or not and these stocks do seem oversold, but stocks can stay oversold for longer periods. GNK and EXM rallied Friday but closed near there lows for the day. DRYS was on its way to the lows, so I’ll be watching this group again this week.

Previous Post
Stock Market and What If ?
Next Post
Two Stocks-COIN,SEED

Recent Articles