My Shorts

Shorting Pigs Not Financials/Banks

I just read noobtrader's posts about his SPAR shorts this week. I too shorted SPAR and covered too soon. Shorted 10/2 at 3.39 and covered 10/7 at 3.02 thinking it might bounce off 3 the next day. Bad cover as it turns out. And out of line with the way I usually short piggy stocks. This does not include sectors like the financials/banks/insurance which are basically gambles right now.

If I had stuck to my normal lazy method (learned from Muddy, ha) I'd still be short SPAR as it sits at 2.67 today at the close. We normally just let them run down for awhile, usually no stress trades. LOOK FOR THE PIGS, not the newsy rollercoaster stocks. Yes, you can trade those if you are very experienced. I'm not.

BTW, what I mean by lazy is this.........Muddy and I traded JADE several times early in the year in the $4-5 range. Where is it now? 50 cents! Let em sink. They will. Choose the right ones and let them sink.

Now if we get a huge rally tomorrow, maybe these will run, but they won't run up like fin/banks. I'm up enough I can cover early and keep most of my profits.

All these short from last week, 9/30-10/3

CALC short 2.45 now 1.52 gain +38%
EFJI short 1.66 now 1.43 gain +14%
GRRF short 2.14 now 1.06 gain +50%

No reason to cover until I see green.