Friday, October 10, 2008

Are the days of relaxed shorts over?

Probably not. But just because some of these stocks are pigs doesn't mean they can't gyrate unexpectedly. Here's ISSC from my watchlist:


Even my 5 minute rule didn't help today, because shorting off the spike just lead to more spikes. I covered for a loss even though perhaps I should have held, I don't believe in risking even more loss when a stock looks like it is going green on the day.

Also YRCW:


I loved the huge red to green action in the morning and if I were in the chat I would have mentioned it. I got a great entry off the spike and was all set for a great short. However what was supposed to be a relaxed short turned into a scramble to cover just to break even at the end of the day.  I made a good entry but got caught in the unexpected end of day rally. My goodness.

Nice plays on RDN and LCC long. I've been expecting an airline rebound after they've been so beaten down and they didn't disappoint. Watch LCC UAUA AMR for long rallies again on Monday.