Stocks This Week: Sell Short Honeywell And PayPal

The market is likely to retrace some losses this week. The selling is expected to resume in September. On the 28th, the 1.88-year cycle tops, adding to the usual September weakness. The selling is likely to be concentrated in the big tech leaders. Here are a pair of recommendations.

The Honeywell weekly cycle below has been accurate in eight of the last ten signals. It appears that the shares will fall into the end of August. Relative strength has hit its lowest level since 2013. September has been the weakest month to hold the stock, up 37% of the time for a loss of about 3%. Honeywell is likely to fall closer to $175.