This article talks about five technology companies that might do very well in March. The writer uses a special tool called RSI to find stocks that are not expensive and could go up in price soon. These stocks are Smith Micro Software, Endava, Aurora Innovation, Coherent Corp and Applied Optoelectronics. Read from source...
1. The title is misleading and clickbaity: Top 5 Tech Stocks That Could Blast Off In March. It implies that the author has identified a select group of tech stocks that have high potential for growth in the coming month. However, the article does not provide any evidence or data to support this claim. Instead, it focuses on oversold stocks, which are usually considered as a contrary indicator of future performance. Oversold stocks may bounce back soon, but they do not guarantee long-term success or outperformance.
2. The article uses the RSI as a primary criterion for selecting oversold stocks, without explaining what it is or how it works. This may confuse readers who are not familiar with technical analysis or charting tools. Moreover, the RSI is just one of many possible indicators that can be used to assess market conditions and identify potential trading opportunities. The author does not consider other factors such as fundamentals, earnings, valuation, news, trends, etc., which may also influence investors' decisions.
3. The article focuses on a single date (Feb. 22) to report the financial results of Smith Micro Software, without providing any context or comparison with other periods or competitors. This makes the information irrelevant and outdated for readers who want to make informed decisions about the company's performance and prospects. Furthermore, the article does not explain why the poor fourth-quarter results are a reason to buy the stock, rather than a warning sign of further decline.
4. The article lacks objectivity and balance in its presentation of information. It only mentions negative aspects of Smith Micro Software's situation, without acknowledging any positive factors or potential upsides. For example, it does not mention that the company has a diversified product portfolio, a strong brand reputation, a loyal customer base, or a history of innovation and growth. It also does not compare the stock with other tech companies in the same sector or industry, which may offer similar or better opportunities for investors.
5. The article displays emotional bias and irrationality in its tone and language. It uses words such as "worse-than-expected", "bad", "disappointing", "fail" to describe the company's performance, which convey a negative and pessimistic attitude. It also implies that buying the stock is a risky and desperate move, by using phrases such as "opportunity to buy into undervalued companies" or "may bounce back soon". These statements may appeal to readers who are looking for quick gains or sensational stories, but they do not provide any reliable or credible advice.