A lot of stocks that recently had big runs are getting hit today.
The first one I focused on was SodaStream (NASDAQ: SODA). For those in the Momentum Trader Mentoring Room with me yesterday, we were concentrating on the short side of this trade. When SODA made a big move from around $34 to $50, and yesterday it put in a big red bar, I believe you could expect some continuation to the downside based on how much of the previous up-move was retraced.
I shorted SODA yesterday and had it overnight, then I added today when it broke yesterday's low of $46.65. Now we're $1.20 lower than that. I'm currently holding some puts, and I'm out of the stock completely. A 10% move is beyond even my wildest expectations for a stock.
Another stock I want to talk about is 3-D Systems (NYSE:DDD), which had an unbelievable ride from about $35. DDD was a momentum darling for the first week of this year, and today the stock topped out around $61.75. Right now we're at $56.80. We got a big move down off the bell, and then we got a bear flag. Once that $59 area broke, everybody got panic and stops got executed. I was not able to make money shorting DDD today, but I made some money in the puts. This will continue to be on my radar.
Another stock I was looking at today was the other big 3-D printing name, Stratasys (NYSE:SSYS). As you can see, we had a down move right off the bell, then a bear flag which resolved to the downside and sold off another $1.50.
Another stock I have been focusing on is Las Vegas Sands (NYSE: LVS), which has the same type of scenario: big move from of $44 to $51.80 and a red bar yesterday. I wouldn't be surprised if this stock could see $50 sooner or later. It could either be profit taking or panic selling, I'm in puts right now, and if it sets up a nice pattern for me, I will get into some stock. My target is $50.
*DISCLOSURES: Steve Levay is long FSLR calls , X calls, FB calls. Long LVS puts.