# Watchlist Week of May 15th, 2022

Canonical: https://stocksurgedaily.com/watchlist-week-of-may-15th-2022/

## **Evercore Inc. (Short Idea)**

**Evercore Inc.** (EVR) was a market leader following the pandemic selloff of 2020. Shares climbed over 400% before peaking in October. 

Since then, EVR has reversed course.

Here’s how the chart is setting up…

![](/wp-content/uploads/2022/05/image111.png)

**_Daily Chart of Evercore Inc. (EVR) -- Source: TradingView_**

And here’s how the stock is setting up with my Stock Surge Indicator (SSI)…

*   **Surge score: 37/100**
*   **% Above 52-wk low: 5%**
*   **Sales growth: +9%**
*   **Return on Equity: 66%**
*   **Triple momentum: yes (short)**

EVR now trades below its 200-day moving average, trending lower and cannot rally above the 50-day moving average (red line).

It is now trading against its downtrend line and just below the 50-day.

I like this as a short trade with a buy stop at $117 for protection.

## **Central Garden & Pet Company (Short Idea)**

**Central Garden & Pet Company** (CENTA) is a mid-cap consumer goods company selling pet food and garden supplies direct to consumer.

In the age of Amazon, this is a questionable business model at best. And based on the technicals, this stock could be on the verge of a major decline.

Here’s how the chart is setting up…

![](https://lh4.googleusercontent.com/uUaxGXOJ5i4kK2EE2jsSPxtv5FocTt7OVjywqu5UzQvIRDzVlqWTo6Hpz24YnEWrr3b-pcJqYXkyUU_3KSgI84_bH4NNqmogBybnHpxJ92b5DeWdJdhhrSBlJFMlH8cdCm6LBLn0920)

**_Daily Chart of Central Garden & Pet Company (CENTA) -- Source: TradingView_**

 And here’s how the stock is setting up with my SSI… 

*   **Surge score: 67/100**
*   **% Above 52-wk low: 7%**
*   **Sales growth: +2%**
*   **Return on Equity: 14%**
*   **Triple momentum: yes (short)**

Shares are forming a bearish “wedge” pattern with long-term support near the $40 mark.

But we don’t need to wait for it to break down before shorting the stock.

CENTA is trading right up against its downtrend line and just a dollar below the 200-day moving average. That’s a lot of resistance to push through.

I would consider selling this short in the $42-$43 range with a buy stop at $45.

This comes out to a risk of roughly 5% on a trade that could deliver a big win on the downside.

## **Adobe Inc. (Short Idea)**

**Adobe Inc.** (ADBE) is one in a long list of past winners that has given back _all_ of its post-pandemic gains.

The stock is down 43% since November and could fall further.

Here’s how the chart is setting up…

![](https://lh3.googleusercontent.com/3XtUKMMwWbGylUQLfhXGQ9xdFeW-4VWqMu4EyBV-BIMS2_9L40Ti9U4aBVDZ-Rhyor6KfgJDVDMNxNzjSklAg54eY_lcM83jha4zvsD0bRn3s7i83BdklIHjTZl598-FowyLaxs0uDg)

**_Daily Chart of Adobe Inc. (ADBE) -- Source: TradingView_**

 And here’s how the stock is setting up with my SSI…

*   **Surge score: 29/100**
*   **% Above 52-wk low: 9%**
*   **Sales growth: +9%**
*   **Return on Equity: 43%**
*   **Triple momentum: yes (short)**

The trend is unquestionably bearish for ADBE stock, and shares have been unable to trade above their 50-day moving average for almost six months.

I would consider selling ADBE short in the $410-$425 area for a continuation move lower.

Work a stop at $442 for protection.