We’re selling 70 shares of Danaher at roughly $221. Following Monday’s trade, Jim Cramer’s Charitable Trust will own 400 shares of DHR, decreasing its weighting to about 2.3% from about 2.75%. We’re trimming our position in Danaher out of discipline to the S & P Short Range Oscillator , which we use to gauge when the market is technically overbought or oversold. The Oscillator officially moved into overbought territory after Friday’s market rally, with a reading of 4.96%. Anything above 4% indicates the market is overbought, and we suspect the Oscillator will move deeper into overbought territory based on Monday’s market move. Overbought doesn’t always mean sell, but it serves as a reminder to take some profits after a solid run. While still down year-to-date, Danaher shares have rallied 22% from our most recent purchase in late September. DHR YTD mountain Danaher YTD One reason for the latest Danaher comeback was better-than-expected earnings. The stock jumped almost 6% last Tuesday after the company reported its third-quarter results, which featured a clean beat against Wall Street expectations. Although management’s fourth-quarter guidance came in a bit below estimates, the initial forecast for 3% to 6% revenue growth was viewed as better than feared. We’re encouraged by Danaher’s outlook from here, as it finally looks like the company is returning to a pattern of beating expectations and raising. However, we’re taking some off because the stock has been prone to stumbles just when things were starting to look better, and we don’t want to fall victim to that again. From this sale, we will realize a loss of about 7% on stock purchased in March and April 2022. Remember, you can’t always sell your winners. (Jim Cramer’s Charitable Trust is long DHR. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
