TIM $14,124 (up $56 on the day)
Niiiice Market Today, Strength May Be The Precursor To Many Potential Shorts
BIDZ —turned out to be more of a letdown than the classic I was expecting, like most sequels these days. Around mid-day,
http://www.stocklemon.com/”>Stocklemon.com (whose website sometimes shuts down for hours at a time, not very confidence inspiring) followed up their beautiful indictment of the company with a half-hearted attempt that detailed how one of BIDZ founders blah blah—nothing really as great as the first, probly as a result of some lawyers breathing down their neck. Sad, really.
The stock opened down at $10, spiked to $11, tanked to $9 and flatlined around $9.50 all morning long. TIM bought 300 shares at $9.88 right after noon because the sellers were looking tired and I thought there was a chance at a short squeeze (especially since Stock Lemon still hadn’t released their second report and, more importantly, because if the stock took out $10.12 (the high from the 11am spike), shorts would really get scared and their panic buying would push the stock up another 30 cents or so). I entered early because the spreads were rough (7-12 cents at all times) and I knew this stock would move fast so there wouldn’t be much to gain on the breakout of $10.12 (since the opening spike created resistance in the $10.60 range).
I was right on the money and sold my 300 shares at $10.34 for a nice $135 gain (after risking 21% of TIM assets) within 10 minutes. Sure, the stock went higher—especially after the Stock Lemon report disappointed (I wanted to buy the $10.60 breakout around 2pm, but I don’t like buying (first of all) and I especially don’t like buying stocks that are down on the day (since the rally usually fails when the stock tries to go positive—which this one did perfectly, offering up a good short in the $11.50 range, but then again there’s no shares available to short!))—but I wasn’t disappointed that I didn’t hold for larger gains because this is too unpredictable a situation. I took my ½ point and I got outta there. Decent trade.
We’ll see how it acts tomorrow, I highly doubt there will be any good setups unless it cracks $12.
ASHW —still holding my 700 shares short. Aside from a few intraday and spikes at the market close (probly some worried shorts), this one acted nicely (given that it was down a penny or so most of the day in the face of a strong market) today. I kinda hope it displays more strength so I can add to my position (I’ll only double down by averaging up, no need to add here and risk it surging in my face)
Lots of Chinese spikers today, JRJC, CHNR, GBT, many more—all could be good potential shorts soon (hopefully not too soon—let’s get a little room between their bottoms and where I’m gonna short them!)
QLTI —a nice one with a perfectly bearish chart, up 24% on news the company wants to sell out to help shareholders (and themselves), aka we’re tired of working so hard and watching our stock drop steadily, we cry, “uncle, uncle!” Could be a good short if it continues to bounce
LTON —up 34% on earnings / investment from large media company, very little volatility for most of the day, it’s on my watchlist, but I doubt I’ll play it.
VRGY —up 28% on strong earnings, put on watchlist, doubt I’ll play unless it cracks $30
BCST —video compression technology maker keeps surging, up 22%, not sure how to play this one, on watchlist
BECN —up 20% on strong earnings, perfectly bearish chart, could be a bottom, dangerous short
FSYS , CTCT , ACLI , MTH , KERX , BLG —more perfectly bearish charts, potential bottoms/shorts (gotta wait to see how they act to determine whether to be long or short biased—yes, I have no bias, I’ll let the price action determine my bias)
TIM has a position in ASHW, that’s it
Posted in Short Selling