I used strength to short dryshippers DRYS ($77.13) and EXM (33.75). Both still could move a little higher (in fact, both closed above my short entry), however, the bounce was too good to pass up. They have very "toppy" looking formations.
I can see DRYS testing the 200 day moving average at 60. I am using a loose stop (83). If it breaks above 83, we may see a run to the 50 day moving average at $100 before resuming the downtrend. I don't mind taking the risk of loss considering the possible gain. If I get stopped out at $83, you can bet I'll try again at $100.
I took profits in shorts QID and AKAM.
5 comments:
good that you went long aapl bad idea that you went short drys.
stockfuturemaster.
Market Speculator
Do you think the we formed a bottom today 12/19/07? Can I go aggressively long? Or you think it will be sell on strength?
What price did you short DRYS? When will you cover?
Has AAPL and BIDU put in a bottom? Where would you buy them? Any opinions on AGU or FWLT?
DRYS just got a big vote of confidence from Jefferies saying the shares are "extremely oversold" and slapped a $160 target on it. With short covering action this might rocket.
Dr. Nova,
I am not going to predict a bottom. If there was a big edge in picking a bottom right now, I wouldn't have any shorts. I'm leaning 60/40 that we see more downside in the coming months.
However, I do think we could see a short term bounce, which is why I went long AAPL, RIG and CF yesterday.
So far DRYS is staying the course. Thanks for the update, alhtough I missed the news you are talking about.
Post a Comment