Our technical scanner runs daily across the S&P 500 and Nasdaq 100, scoring each stock on a range of momentum, trend and oscillator indicators to identify both bullish and bearish setups. Today, 19 August 2026, we turn the spotlight on the short side — stocks where the weight of technical evidence suggests that sellers are in control. Short candidates are stocks flagged by an elevated number of bearish signals relative to bullish ones; they are not recommendations to sell or short any security.
Important risk warning: Short selling carries risks that are fundamentally different from — and in many ways greater than — buying shares. Losses on a short position are theoretically unlimited, margin requirements can be substantial, and a short squeeze can produce violent, rapid moves against the position. Always size positions carefully and ensure you fully understand the mechanics and risks before considering any short trade.
1. Align Technology (ALGN) – 12 technical sell signals
Price: $167.91 | Daily change: -1.9%
View the full technical analysis of Align Technology
Align Technology tops today’s bearish list with 12 sell signals against only 5 bull signals, and a session decline of nearly 2% underlines the negative short-term momentum. The dental technology company, best known for its Invisalign clear-aligner system, has had a turbulent twelve months. Coverage from earlier in the year noted that ALGN had meaningfully underperformed the broader healthcare sector, and while a brief rally carried the stock toward the $190 area in the spring, the shares have since retreated sharply back toward the $167 range — suggesting that recovery attempt may have run out of steam.
From a fundamental backdrop, sentiment has been mixed. Some analysts questioned whether the stock offered genuine value even after its extended period of weakness, while others noted that insider activity — including a share purchase by the CEO — briefly lifted spirits. The fact that the stock has given back those gains and is now printing fresh bearish technical signals is worth monitoring closely. Sector headwinds in medtech and softer consumer spending on discretionary dental procedures remain overhanging concerns.
With a bear-to-bull signal ratio of more than two to one, ALGN warrants attention from investors managing existing long positions and from technically oriented traders seeking short setups, subject to appropriate risk controls.
2. DuPont (DD) – 12 technical sell signals
Price: $138.81 | Daily change: -2.98%
View the full technical analysis of DuPont
DuPont de Nemours is the hardest-falling stock on today’s list by percentage, dropping nearly 3% in a single session while registering 12 bearish signals against just 3 bullish ones. The specialty materials and technology company has undergone considerable corporate restructuring over the past year, including a notable 1-for-3 reverse stock split enacted in June, which consolidates the share count and adjusts the nominal price but does not, by itself, create underlying value.
Recent commentary from financial analysts suggested that DuPont’s five-year run — delivering returns in the region of 60% — may have left the stock fully valued at current levels, with valuation checks sending mixed messages about whether further upside is justified. While the company’s inclusion in certain Russell defensive indices and endorsement from at least one prominent billionaire investor provided some support earlier in the summer, the technical picture is now deteriorating meaningfully.
The combination of a steep single-day decline, a lopsided bear-to-bull signal ratio, and a valuation debate that appears unresolved makes DD a name to watch carefully. Investors holding long positions may wish to review their stop-loss levels in light of today’s technical deterioration.
3. Honeywell Technologies (HON) – 12 technical sell signals
Price: $227.71 | Daily change: -0.76%
View the full technical analysis of Honeywell Technologies
Honeywell Technologies shares 12 bearish signals with both ALGN and DD, though its daily decline is more modest at under 1%. Nevertheless, six bullish signals are insufficient to offset the weight of selling pressure evident in the technical data. Honeywell executed a 1-for-2 reverse stock split earlier this year and subsequently revised its full-year 2026 guidance to reflect the new share structure — a process that can sometimes introduce short-term pricing uncertainty as the market recalibrates its models.
On the operational side, the company reported solid order momentum in its most recent quarterly update and has outlined multi-year targets centred on revenue growth and margin expansion, supported by a strategic pivot toward AI-focused automation and software. These are credible long-term catalysts, and at least one major investment bank analyst suggested the shares looked undervalued ahead of second-quarter results. However, positive fundamental narratives do not always translate immediately into positive price action, as the current technical picture illustrates.
The divergence between an improving fundamental story and weakening technicals is a pattern worth monitoring. For investors already long, it may be worth assessing whether the thesis remains intact at current price levels or whether a tactical reduction in exposure is appropriate.
4. Live Nation Entertainment (LYV) – 12 technical sell signals
Price: $179.84 | Daily change: -2.49%
View the full technical analysis of Live Nation Entertainment
Live Nation Entertainment falls nearly 2.5% today despite what has been a broadly constructive recent news cycle for the live events giant. The company beat analyst expectations on both revenue and earnings in its second-quarter 2026 report, with year-on-year sales growth of more than 9% and a profit figure well ahead of consensus. Multiple analysts maintain buy ratings on the stock, with price targets in the $177–$204 range, and the shares had strung together three consecutive positive sessions as recently as mid-August.
That makes today’s sell-off and the emergence of 12 bearish technical signals — against only 3 bullish ones — all the more noteworthy. It is not uncommon for stocks to pull back after a strong earnings-driven run as early buyers take profits and momentum stalls. The technical scanner is agnostic to fundamentals; it is simply reflecting the balance of price-based evidence, which today is clearly weighted to the downside.
The disconnect between solid operational performance and weakening technical indicators is a classic tension that investors must navigate. Those with conviction in the long-term live-entertainment demand story may view any pullback as an opportunity, but the current technical configuration suggests caution in the near term.
5. International Paper (IP) – 11 technical sell signals
Price: $40.05 | Daily change: -0.52%
View the full technical analysis of International Paper
International Paper rounds out today’s list with 11 bearish signals and only 2 bullish ones — the most lopsided bear-to-bull ratio in this week’s screening. The packaging and materials heavyweight reported second-quarter 2026 results that missed Wall Street’s revenue expectations, with year-on-year sales declining more than 11% to around $6 billion. While the non-GAAP profit figure came in ahead of estimates, top-line weakness in the containerboard market remains a significant concern and has weighed on sentiment.
Analysts have held a divided view on the stock. Some see the shares as trading below fair value, particularly following a period of price weakness and with containerboard pricing potentially stabilising. Others point to persistent revenue softness as a fundamental headwind that is difficult to ignore. A mid-July commentary described the stock’s multi-year performance as mixed — a characterisation that the current technical picture appears to support.
With the lowest price on today’s list at just over $40 and a near-absence of bullish technical signals, IP warrants close attention from investors assessing whether the packaging sector has further to fall. As always, investors considering a short position should be mindful of the asymmetric risk profile and the potential for sharp reversals if industry pricing dynamics improve more quickly than expected.
Disclaimer: This article is produced for informational and educational purposes only and does not constitute investment advice, a solicitation, or a recommendation to buy or sell any security. Technical analysis identifies patterns in historical price data and does not guarantee future results. Short selling involves significant risks, including potentially unlimited losses. Always conduct your own due diligence and consult a qualified financial adviser before making any investment decision. The Wall Street Stock Investors Club and its contributors may hold positions in securities mentioned.