No More Polar Bears Means No More Solar Bears
Beyond the title of this blog post rhyming, I am not interested in delving into any issues related to the science of weather and its relationship to energy sources.
What I do care about is whether it may be time to hold our proverbial nose and buy solar stocks, a sector we have long been bearish on inside Market Chess Subscription Services for a good while now.
It is almost never correct to be perma-anything in markets, however. And solar could be headed towards a surprise comeback even as the GOP dominate several branches of the federal government (and many states, too).
FSLR and SPWR seem like some obvious plays to keep on watch. But, to be clear, it is likely to be a tedious process even if the sector does stage a valiant comeback, which is a direct consequence of how much capital they destroyed on the way down and all of the trapped longs who simply "want out" from the long-standing pain into any and all rallies.
I will follow-up on this theme throughout the winter, since the buy volume in recent sessions in SPWR has been noteworthy.