The Dash for Trash Explained

If you’re an individual stock picker, there are few cycles more exciting than the all-known moment I like to call: The dash for trash.

The concept of “The Dash for Trash” marks a unique point in the stock market where overlooked, undervalued, but also sometimes just outright terribly speculative stocks start to experience a significant resurgence. No one knows why these moments begin, but time and time again, they appear almost out of nowhere. The cycle turns, money moves, and suddenly everyone goes through the garbage bins.

These are the stocks that had been discarded and neglected, much like trash thrown out on the curb. Or, the all famous saying of being thrown out with the bathwater. Investors often view these stocks as undesirable or too risky, casting them aside in favor of more stable or popular options. More recently, we saw this with the Magnificent 7 or even Cramer’s FANG stocks. But almost always, in between those times, there was a sudden Dash for trash.

Is that happening now? Or just starting? Only time will tell.

You’ll know the “dash for trash” has started when these forgotten stocks, meme stocks or similar, start to begin to catch a bid for reasons we’ll never know. Trading is fun? Truly undervalued names? Massively oversold and forgotten? All of the above?

Yes.

For the first time in years, I am alerted to the all famous Dash for trash moment. I am watching rather closely.

Written by Stefan Cheplick, a fintech builder and writer with experience at Stocktwits and TradingView. Background and published work.