SHOO was an excellent setup and a near perfect short. After an initial breakdown on low volume, SHOO tried to find some support on 8/6/07. However, the very next day on extremely strong volume with BOP going red again, the stock went higher intraday only to reverse hard and close in the lower portion of its intraday trading range. This created a very nice short setup and since I felt a top nearing, in my gut, I knew this one would probably do very well. I was not disappointed as SHOO dropped 44% in five months and one week. The stock soon found support after that crack and on 4/21 I was completely out and on 5/30 it was back above the 200 DMA officially killing the short trade. So at least I didn’t mess up and miss a 95-99% gain on this one.
the short:
the low of the move:
