This is a story about two financial (money) stocks that people might want to stop investing in for the month of August. These two stocks are named Sezzle and Heritage Insurance. Sezzle is a company that helps people pay for things they want to buy in small parts. Heritage Insurance is a company that helps protect people's homes and stuff in case something bad happens. People are warning others that these stocks might not be good to buy right now because they have gotten too expensive, and they might go down in value soon. Read from source...

This is my personal opinion, and not to be taken as fact.

The article titled "Top 2 Financials Stocks You May Want To Dump In August" written by Avi Kapoor, Benzinga Staff Writer is a quite interesting read. In the article, the author makes quite a bold statement claiming that two financial stocks could be warning signs for investors who value momentum in their trading decisions.

The technical analysis used in the article to justify the argument seems quite sound, as it uses Relative Strength Index (RSI), a momentum indicator that compares a stock's strength on days when prices go up to its strength on days when prices go down.

However, the argument presented in the article seems quite irrational, if not outright foolish. The author claims that the RSI values of the two stocks (Sezzle Inc SEZL and Heritage Insurance Holdings Inc HRTG) have reached overbought levels, and hence investors should dump these stocks.

This argument is quite irrational as it is based on a single momentum indicator without considering other crucial factors such as the company's financial health, management quality, industry trends, macroeconomic conditions, etc.

Moreover, the article's title itself seems to be clickbait, designed to attract readers with a sensationalist headline. This is not to say that these stocks may not face headwinds in the future. But, as the article lacks a comprehensive analysis, it does not offer much value to serious investors who are looking to make informed decisions.

In conclusion, the article presents an argument that seems to be more based on irrational exuberance rather than a sound analysis. While the technical charts used in the article are impressive, the overall argument presented is quite flawed. Serious investors are advised to take this article with a grain of salt.

1. Sezzle Inc (SEZL):
Sezzle reported better-than-expected Q2 financial results, leading to a 58% gain in stock prices over the past five days. The company has raised its 2024 guidance, expecting Total Revenue to increase 35%-40% YoY, and Net Income of $55.0 million. However, the RSI value of 72.74 indicates an overbought situation. Investors should be cautious and monitor the stock's performance.

2. Heritage Insurance Holdings Inc (HRTG):
Heritage Insurance posted upbeat quarterly earnings, resulting in a 49% gain in stock prices over the past five days. The company's strong results demonstrate the execution of its underwriting and rate adequacy initiatives over the last three years. Despite the optimistic outlook, the RSI value of 78.10 suggests an overbought condition, and investors should approach the stock with caution.