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These stocks are showing alarming warning signs

By now, you know that if you want to hear about which stocks have moved strongly from a bearish chart pattern to a bullish one that you are going to have to look elsewhere. Of course, you’ve probably learned, as all do eventually, that there is nothing to be gained from following predictions so generated. They are right nearly 50% of the time, which means you could probably do better by training a drunk monkey to throw darts at a list of stock and could, beyond any doubt, do better just by buying and holding a few stocks with good long-term prospects. The reason for today’s list is simple: not every company has good long-term prospects, and I mean to point out a few that—at least at current price-levels—do not.

What I’ll be looking for today are real warning signs. I’m looking for those odd moves that companies sometimes seem to make for no good reason, because we often find out later that such moves were actually made for a rational reason by someone who knew, as we did not, just how much trouble the company was in. I’m looking for moves which are marketed as mysterious and brilliant, but which are actually defensive and panicky. I know, I know, I know, I could write up fifteen companies for making such moves without leaving the subject of cryptocurrency, but I only intend to focus on one of those—the one the rest of the market seems to have been wholly bamboozled by. I am not, by the way, a foe of cryptocurrency; I am a foe of market manipulation.

Remember to treat these ideas as just that, ideas, and do your own research before making any investment decision.

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Julian Close

Julian Close became a stockbroker in 1995. In his 20 years of market experience, he has seen all market conditions and written about every aspect of investing. Julian has also written extensively on corporate best practices and even written reports for the United Nations. He graduated from Davidson College in 1993 and received a Master of Arts in Teaching from Mary Baldwin College in 2011. You can see closing trades for all Julian's long and short positions and track his long term performance via twitter: @JulianClose_MIC.