CHATROOM

Today’s Biggest Winners Are Tomorrow’s Best Shorts

November 27, 2007 at 5:37 pm
by Timothy Sykes

Watch these 7 free video lessons on how I became a millionaire

TIM $14,068 (up $78 on the day)

Boring Market Today

ASHW —still holding my 700 shares short overnight tonight, acted nicely today, would’ve like to see a larger down day, but not bad considering the strength of other retailers, th

e overall market and stock’s illiquidity.

FFHL —coulda shoulda woulda been a good short today (and probably tomorrow too—especially if it cracks $3.25), but no shares available to borrow. Ahh, sometimes it stinks to be poor! I’m sure some specialty brokers have shares available—oh well, no matter there’ll be more like this.

SWAT —another runner, I wish it had exhibited more strength and volume. Oh well, next.

BIDZ —ahhh the glory of short selling! Stocklemon.com really nailed this one—it’s nice to see there’s still justice every now and then. Alas, no borrowable shares available here either (Trust me, I tried and tried!)

UPDATE: Per their conference call , BIDZ says they’ll sue StockLemon and there’s an analyst out defending the company even though the stock is down another 20% in after-hours. It’s amazing that in this day and age, short sellers are treated with such disregard. Too bad there’s no short sellers fighting back by suing people who right puffy/hype-filled “research” reports.

HOKU —nice morning dip of 60 cents/share, but the rest of the day offered ZERO shorting opportunity due to the tight range and the fact that it failed to take out the early morning low (which would’ve been a great short signal). A perfect example of why it’s so dangerous to short in the morning.

DEIX —niiiiice, up 53% on news of their amended/extended deal with SIRI. Horrifically perfect bearish chart (below)—ideally it continues to bounce (maybe to $3 to make it shortable at Thinkorswim!) so I can short into some real strength (just like SMRT, ASHW, FFHL, blah blah blah—starting to get the picture yet?)

deix.png

 

 

 

 

 

 

 

 

 

The SEC says I should tell you I’m short ASHW even though this website, my posts, my book, my DVD and basically my entire existence are for entertainment purposes only!

Posted in Short Selling

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  • gburleson1

    Does anyone have any thoughts on RHD?

  • Reaper

    The market kid also caught ENAB. Lots of nice stocks. Its good that all of these waited until I got back from vacation.

  • Reaper

    I’d wager that ENAB tanks in the morning. MITI nice, KANA nice, BESN unavailable at IB, hopefully there is some at TOS because that company sucks.

  • samyharmoush

    BESN wasnt available Wed morning thru Friday afternoon. Son of a gun!

    Tim, in BLD, thoughts?

  • http://www.test.timothysykes.com timothysykes

    bld is an earnings play, not interested

  • http://www.test.timothysykes.com timothysykes

    thinkorswim has no BESN, CHTL or ENAB, congrats, u guys are waking up earlier, u realiz ehow easy this game is when u can find shares…anybody have a speedtrader account? they probly have some available

  • Mark

    I tried TOS at 6 AM central and all I could get is MITI. If MITI starts breaking down in the morning, would you consider a morning short?

  • notesguy88

    I picked up some MITI to reserve. As Tim noted, there are none available of the others at TOS.

  • Reaper

    I had not problem picking up MITI @ TOS.

  • Ross

    Mornin I am in Seattle up @ 5AM Got 200 shares of MITI reserved @ $10

  • gburleson1

    Any thoughts on RHD?

  • Lance03

    what is everyone thinking on the entry point for MITI?

  • Rastabadboy

    Anyone given any thought to CSUN as a future short. Chart looks like SOLF.

  • TheParadox

    MITI – the best pattern we could see on MITI is a “dark cloud” or “Engulfing pattern”. My entry would be to see an open that is higher than Friday’s close (better if near Friday’s high), and a close lower than… say 7.20, This puts pressure on new longs to sell as they just jumped on a sinking ship and would further turn more longs bearish.

    My entry to MITI is 1) high open, and a day trend that fades out, 2) breaking the previous “mini support” at 7.15ish

  • TheParadox

    Join #IronCondor on moznet (mozilla.org)

  • Reaper

    WTF Paradox? You change channels on IRC every day?

  • Lance03

    I join iron paradox

  • Lance03

    reaper which are you on?

  • boob

    MITI gapped up to friday’s high.

  • Slayer

    Sold 500 NABI @ 5.95

  • Lance03

    Paradox…you aren’t on IronCondor… Is there another room you guys are using?

  • lamecoder

    you have to make sure the pull down says mozilla before you connect

  • lamecoder

    tim, is my kana chart messed up or does mostly all the volume for the last few days occur in a one mintue period? What is the deal with that?

  • Lance03

    I thought I did….Is the room going?

  • Lance03

    [INFO] Channel view for

  • lamecoder

    yes the room is going, i would exit and reconnect, and double check the servr that you are connecting to.

  • Reaper
  • Reaper
  • Reaper

    covered my WCIMQ short today for a solid 13% gain. Still plenty of shares at IB.

  • taxwise1

    help..chat won’t open

  • AdamN

    Shorted MITI @ 7.12

  • patelt78

    MITI has cracked

  • samyharmoush

    In MITI @ 7.11

  • patelt78

    shorted at 7.13

  • samyharmoush

    Whats an expected exit price?

  • boob

    what’s everyone’s cover target for MITI? this one looks like it could run for 1 more day.

  • patelt78

    there’s a lot of intraday support at 6.45. If it bounces, I’ll cover. If it breaks, then next support will be at 6.18

  • AdamN

    Die MITI!

  • tamimkhan

    Darn it i was in pain shorting Miti at 7.13 on Friday to watch it spike and now covered at 6.86. Do u guys recommend a reload

  • KetchupThief

    Is anybody eyeing RDN? Possible afternoon slump?

  • redwjamz

    pre-lunch MITI 7.15, post-lunch 6.66 — I need to start bringing my lunch.

  • AdamN

    Covered 500 shares MITI @ 6.55 for a quick $0.57 or 8% profit. Netted $270 in total profits after commissions.

  • Getshorty

    Ketchup, RDN is on its 3rd day upnow at 3.73, can run up to 4.83, support at $3. If somebbody puts a gun in my head, I’ll ratther go long than short (very short term), but since nobody is armed around it, i’d rather see it spike and then short if it counces from 4.83 resistance. Don’t touch until after.

  • Getshorty

    Well played Adam, getting greedy here… will see if it can break 6.50

  • redwjamz

    look at TRX

  • Getshorty

    TRX transportation INdex?
    TRX TRonox Inc.?
    TRX Terrane Metals Corp.?

  • redwjamz

    tronox inc

  • Getshorty

    Tronox is in a clear downtrend and has only spiked 20%, not good risk reward to short. Maybe on a bigger spike though.

  • phil235

    Just longing on today I see I missed MITI, any thoughts on if it’s to late to jump in?

  • Getshorty

    Can’t tell About MIti, may bounce or not from here, If it starts fading or goes under 6.50, will add to my position.

  • kusumo

    If MITI can break support around $6.50, there is still further downside.

  • Getshorty

    Yep, downside is huge, but also upside, may get out at the first signs of a squeeze, ready to re enter once it is over.

  • eric_S

    Anyone expect RHD to slide a little in the next hour or so?

  • Getshorty

    RHD just broke up on Friday from a cup and handle pattern, way more probable to go up now. Had a long position that closed in the morning at 3.09, that was it for me with these guy, moving too slow. Broke to the upside on 2.50, so to even considering short it I would wait for it to go under that level.

  • eric_S

    You’re absolutely right shorty I just looked at the cup & handle from last week. It started to slide over the last twenty minutes and just started to break again. Thanks.

    Something is telling me that FRE and FNM are done running. Might short out a little FRE @ 3.30

  • eric_S

    Freddie just won’t stop running. Thing is really moving.

    And WHO THE SHIT is pumping TRX. Is a short reasonable?

  • Getshorty

    MAKES ME A LITTLE MORE CONFIDENT…….

    MITI Quarterly Report 2008.

    The accompanying financial statements have been prepared assuming we will
    continue as a going concern. This basis of accounting contemplates the recovery
    of our assets and the satisfaction of our liabilities in the normal course of
    business. As of June 30, 2008, we had an accumulated deficit of $179.4 million,
    and we expect to continue to incur substantial, and possibly increasing,
    operating losses for the next several years. These conditions create substantial
    doubt about our ability to continue as a going concern. We are continuing our
    efforts in research and development, preclinical studies and clinical trials of
    our product candidates. These efforts, and obtaining requisite regulatory
    approval prior to commercialization, will require substantial expenditures. Once
    requisite regulatory approval has been obtained, substantial additional
    financing will be required to manufacture, market and distribute our products in
    order to achieve a level of revenues adequate to support our cost structure.
    Management believes we have sufficient resources to fund our required
    expenditures into the second quarter of 2009, without considering any potential
    milestone payments that we may receive under current or future collaborations,
    or any future capital raising transactions or drawdowns from the committed
    equity financing facility (CEFF) with Kingsbridge Capital Limited. To date we
    have not drawn any funds from the CEFF.

  • Getshorty

    ERic, shorting this TRX first up day is not reasonable. No reason for it not being able to get to 5 (closest big resistance) with the right pump. NO way that is a good risk reward.

  • Getshorty

    “There is time to buy, there is time to sale, and there is time to rest”

  • brad081

    BT FRE @ 3.43.

  • Mark

    Look at MITI’s action late July. That’s what’s happening now. This thing is going down at least to 5.50 tomorrow…maybe more. Go ahead and get squeezed if you will, but I’m ridin this down the rest of today and tomorrow.

  • eric_S

    I mean, I don’t even understand why TRX hasn’t lost their listing. I’m not too familiar with the stock – still, I just don’t understand the buying.

    And when MITI refers to their CEFF- do they mean the proceeds generated from the vending machines in their cafeteria? They’ll need a couple more articles touting their new drug to hold above 6.00

  • Getshorty

    With you on that MArk

  • brad081

    FRE did not go up when alsmost 2million shares were bought at 3.50 so covered at 3.49 for a mere 1.01%profit. Gotta know when to exit even if unexciting

  • eric_S

    For the last three day at this time the spread on MITI goes retarded. What’s up with that?

  • Getshorty

    Eric, my guess is that Shorts are waiting for it to fell but are scared of shorting more and longs are in the same but opposite direction. Is both longs and longs being weary of how the close will be before commiting money overnight.

    Kind of guessing, but better than nothing.

  • eric_S

    Brad, scalping FRE for a percent is immeaurably more exciting for me than playing online poker. I’m still looking for a trade b/f the close.

    TRX really dove over the last ten minutes.

  • TonyEllis

    Tim, what do you think of WEL? I’m long at 2.80…but I’ve been wrong on this one several times

  • Getshorty

    What are you on Eric??

    “Really dove” from 0.52 to 0.48?? when the range of the day has been from 0.36 to 0.56.

    Give me some of what you are having

  • eric_S

    Yea shotry that stands to reason. It just gets ridiculous at three. I was seeing 6.79-72, 6.77-73, etc. You’re right- nobody knows when to pull the trigger on this silly ass stock.

  • eric_S

    Short TRX @ .491 – Let’s see what happens. Probably nothing- just a commission.

  • eric_S

    TOS shorty.

  • eric_S

    I like ten percent.

  • eric_S

    Oh what am I on? Dexedrine and diet coke. Sorry about that.

  • Getshorty

    I will definitively give it a try !!!
    But after the market closes.

  • AdamN

    Hey Tony, I too was looking at WEL on the breakout. I almost bought in at $2.85, but then looked at the daily chart and saw how AWFULLY SLOW it moves. So even if there is more upside, it doesn’t seem worth it to wait it out and possibly take 5-10% gains. Hopefully though, this stock does spike significantly making it a much more probable shorting opportunity. Just my two cents.

  • eric_S

    Covered trx @ .47 after busting my balls to borrow it. Pretty boring thirty minutes.

  • http://www.test.timothysykes.com timothysykes

    awesome glad u guys banked on MITI, i missed it but it due to my travelling, but it was an easy easy gain!

    see u guys eventually wont even need me, this is sooooo easy!

  • Reaper

    Short KANA, ENAB, and MITI overnight. Already took some profits on MITI so if it spikes tomorrow I can cover around breakeven.

  • Getshorty

    I really love the rolling stones…

    Listen to their last song inspired by MITI

    I see a red tape and I want it painted black
    No bearish engulfing pattern I am gonna paint it black.
    See the shorts making money with a bearish close
    I had to paint the tape until the bearishness goes

  • bat711

    Is there more room for MITI to breakdown?

  • http://www.test.timothysykes.com timothysykes

    PS goign concern has nothing to do with MITI, every penny sotck is barely a going concern, this was just pattern perfect, i wanna hear some $ profits people!

  • Getshorty

    MITI is a bearish engulfing pattern at its finest.

    Some factors that would increase the likelihood that an engulfing
    pattern would be an important reversal indicator would be:
    1. If the first day of the engulfing pattern has a very small real body and
    the second day has a very long real body. This would reflect a dissipation
    of the prior trend’s force and then an increase in force behind
    the new move.
    2. If the engulfing pattern appears after a protracted or very fast move.
    A protracted trend increases the chance that potential buyers are
    already long. In this instance, there may be less of a supply of new
    longs in order to keep the market moving up. A fast move makes the
    market overextended and vulnerable to profit taking.
    3. If there is heavy volume on the second real body of the engulfing
    pattern. This could be a blow off

    MITI meets the three conditions.

    Who said gap down tomorrow???

  • patelt78

    Short overnight on MITI, ENAB, and KANA. Both ENAB and KANA had nice afternoon sideways action on low volume.

  • Getshorty

    MITI overnight short. Didn’t feel that comfortable about ENAB and KANA because they have not runned for that long, but If I knew earlier that Reaper was into it (come on reaper, share some, post before the close) I would have considered it.

  • TheParadox

    whoa, no other traffic untill after hours… are you serious?!

  • Reaper

    Getshorty – I was posting on Paradox’s chat room. Also, don’t necessarily copy me–I have a big account and a tendency to hold shorts for awhile.

  • Getshorty

    What r u talking about paradox?

  • Getshorty

    Tim, you gotta give timbucks for posting on timalerts, the blog at the free site is getting pretty dull.

  • http://www.test.timothysykes.com timothysykes

    hey shorty – this is pallian – we’re actually getting rid of the timbucks program completely from sept on – and will be giving away prizes to the top 10 soon.

  • Getshorty

    Hey Pallian, you surely look different with that tie

  • http://www.test.timothysykes.com timothysykes

    lol – we use the same login (still pallian here – tim’s climbing some japanese mountain looking for mushrooms :)

  • YoungGunz

    Damnit I finally take a day off and we get a nice short.