Each week our technical scanner sweeps the S&P 500 and Nasdaq 100, measuring a broad range of momentum, trend and oscillator indicators to identify stocks flashing the most persistent bearish signals. On 25 August 2026, five names stood out with the highest concentration of sell signals, making them potential short candidates worthy of closer attention.
Important risk warning: Short selling involves risks that go well beyond those of a long position. Losses on a short are theoretically unlimited, stocks can be recalled by brokers at any time, and positive news can trigger sharp short squeezes. The technical signals below are a starting point for research, not a recommendation to sell short. Always apply your own due diligence and risk management before acting.
1. Howmet Aerospace (HWM) – 12 technical sell signals
Price: $263.29 | Daily change: -3.09%
View the full technical analysis of Howmet Aerospace
Howmet Aerospace tops today’s bearish leaderboard with 12 sell signals against only 3 bull signals, and a notable single-session decline of just over 3%. The technical picture is notably weak despite a backdrop of broadly positive fundamental news. The stock hit a fresh high earlier in the summer following a strong quarterly earnings report, raised full-year guidance and impressive cash-flow generation — all of which helped cement bullish sentiment for a period.
More recently, analyst price targets have been lifted into the low-to-mid $300s, and a completed aerospace acquisition has kept the name in focus. A Zacks commentary from mid-August also flagged improving earnings estimate revisions as a potential catalyst for further upside. That fundamental optimism, however, appears to be in direct tension with the technical deterioration now visible across momentum and trend indicators.
This divergence between strong fundamentals and weakening technicals is precisely what makes HWM a nuanced short candidate. Investors considering the bearish side should be mindful that any reaffirmation of guidance or further analyst upgrades could swiftly reverse the technical damage. The bear-to-bull signal ratio of 12:3 warrants attention, but the fundamental tailwinds represent a meaningful headwind for any short thesis.
2. RTX Corporation (RTX) – 12 technical sell signals
Price: $209.22 | Daily change: -0.33%
View the full technical analysis of RTX Corporation
RTX Corporation matches HWM with 12 technical sell signals, though its daily price movement was far more subdued at just -0.33%. The aerospace and defence giant has attracted considerable positive attention over the past year, with several commentators describing it as one of the more attractive names in the defence sector. Its Raytheon division has continued to win new contracts, which has helped sustain investor interest and a broadly positive narrative around the stock.
Despite that, the technical scanner is now registering a significant build-up of bearish signals across trend, momentum and oscillator readings — a combination that historically warrants caution even for fundamentally sound businesses. The stock had been a notable outperformer against the Nasdaq Composite over the prior twelve months, which itself raises the question of whether much of the good news is already priced in at current levels.
For bears, the argument centres on potential valuation stretch after an extended run higher, set against a broader environment where defence spending tailwinds may already be reflected in the share price. Nevertheless, with a steady contract pipeline and a well-regarded management team, RTX presents real risk for short sellers. Any new contract announcement or positive guidance revision could quickly unwind a bearish position.
3. Take-Two Interactive (TTWO) – 12 technical sell signals
Price: $233.50 | Daily change: -2.55%
View the full technical analysis of Take-Two Interactive
Take-Two Interactive rounds out the trio of stocks carrying 12 sell signals, and it comes with a particularly interesting backdrop given the ongoing anticipation surrounding Grand Theft Auto VI. The stock fell 2.55% on the session and has been showing a pattern of underperforming the broader market on both up and down days in recent weeks. First-quarter results reported in early August were met with a mixed reception, with some analysts suggesting the stock may now be fully valued following the multi-year run fuelled by GTA VI excitement.
A brief spike triggered by gameplay footage leaked online in mid-August illustrates how sentiment-driven and event-dependent this stock has become. While one analyst commentary suggested TTWO could be meaningfully undervalued based on earnings projections, others have pointed to the risk that pre-launch hype may already be embedded in the current price, leaving limited room for further re-rating ahead of the actual release.
The bear-to-bull signal ratio of 12:2 — the lowest bull count on today’s list — adds weight to the technical case. However, shorting a stock ahead of what could be one of the most commercially significant video game launches in history is an elevated-risk proposition. A release date announcement or strong pre-order data could trigger a rapid and substantial rally that overwhelms any technical breakdown.
4. CDW Corporation (CDW) – 11 technical sell signals
Price: $132.51 | Daily change: -3.45%
View the full technical analysis of CDW Corporation
CDW Corporation registered the largest single-session decline on today’s list at -3.45%, and its 11 technical sell signals against 4 bull signals place it firmly in bearish territory. The IT solutions provider had been trading close to 52-week highs earlier in the summer, supported by rising recurring revenues, double-digit services growth and resilient margins. On the surface, the fundamental picture appeared constructive.
However, closer examination of recent results reveals a more complicated story. While top-line growth of roughly 10% year-on-year was solid, analysts have noted meaningful margin compression and fading operating leverage — a dynamic that limited the translation of revenue gains into earnings growth. Much of the EPS improvement that was delivered appears to have been driven by share buybacks rather than organic profit expansion, which some observers regard as a less durable form of earnings growth.
This combination of technical deterioration and underlying margin pressure provides a more coherent fundamental anchor for the bearish technical signals than is the case for some of today’s other candidates. That said, CDW’s diversified customer base, which spans corporate, government and education segments, provides meaningful revenue stability. Short sellers should factor in that any improvement in enterprise IT spending sentiment could reassert the upward trend that carried the stock to recent highs.
5. DuPont de Nemours (DD) – 11 technical sell signals
Price: $136.67 | Daily change: -1.20%
View the full technical analysis of DuPont de Nemours
DuPont de Nemours closes out today’s list with 11 sell signals and 5 bull signals — the highest bull count among the five, which tempers the bearish reading somewhat. The stock slipped 1.20% on the session. The fundamental backdrop for DuPont is one of acknowledged challenges: a Seeking Alpha analyst recently downgraded the stock from strong buy to buy, citing concerns about third-quarter guidance and the impact of currency headwinds on reported results. Macro pressures have been a persistent theme for the diversified science company.
Despite those headwinds, DuPont’s second-quarter earnings were assessed as high quality by several observers, with strength in healthcare and aerospace end-markets partially offsetting broader pressures. The company also approved a reverse stock split earlier in the year as part of a restructuring of its corporate structure, a move that reshaped how the investment community frames its valuation. These structural changes add a layer of complexity to any technical or fundamental analysis.
With five bull signals still present in the scanner output, DuPont is the least conclusively bearish of today’s candidates from a purely technical standpoint. A short position here is arguably more contingent on macro conditions — particularly currency movements and industrial demand trends — than on company-specific deterioration. Investors should weigh those macro variables carefully before adopting a negative stance.
Disclaimer: This blog post 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 and volume data; it does not guarantee future results. Short selling carries significant risks, including potentially unlimited losses, and is not suitable for all investors. Past performance is not indicative of future returns. Always conduct your own research and consult a qualified financial adviser before making any investment decision. The Wall Street Stock Investors Club does not hold positions in the securities mentioned at the time of publication.