Selling BIOX: Market Conditions Weakening

I think Bioceres Crop Solutions (BIOX) will be a huge stock in coming years. The backdrop for the company remains bright.

My thought is that the stock has run very far, very fast. We've only been in it since earlier this month, but it's up 180% since December. With the share price down about 4% today, it's likely due for a significant pullback to a lower price.

So as much as I like this stock, I think this is a good time today to take a near-20% gain on the stock in a short time and step to the sidelines.

Also, we've enjoyed a very cozy stock market environment for months now, which is supportive of  speculative stocks like this BIOX.

My concern is for the overall stock market could be weakening here, having reached a potential "double top" in the Nasdaq Composite Index.

True, the major indexes today are down less than 1% today. But corrections tend to creep up on us, sort of like a crab put in a pot - we don't feel like getting out until the water gets too hot.

I'm operating partly on instinct on this one. I could be completely wrong.

But if I'm right, the weaker stocks in a correction are going to be the more speculative ones. So I'd rather take confidence in harvesting a small win - like selling BIOX for a gain of 15% or so.

We'll talk more about this in the weekend update. But I wanted to get this to you here in the last hour of the trading session.

Jeff