There were about 25 total stocks in all four of my short scans. However, every single one of those stocks that were in my scan were too far extended from their 200 day moving averages and also had a very bullish daily candlestick today. When you take the bullish closes in all of the shorts with a market that was up a strong amount today, closing near the HOD, it is safe to say you are not going to have any new short positions. Obviously, that was the case today. Just because we did not have any new shorts today does not mean that the seven new shorts we took yesterday were bad plays. They all gave all of us great chances to get great LIMIT PRICES on the shorts I listed last night. The best part, for now, is that not a single one gave a FULL COVER signal today. That means that they are all still in their “good to go for a short” position. They should all continue lower. If they do not move lower from this point, it is safe to say that the market will have shaken us again (get used to it, in VICIOUS bear markets, because it will happen often–this is the reason I keep saying CASH IS KING) and that we will need to cut them. However, if they move lower tomorrow on lower or higher volume that means that the trend is still right. The other signal that hints to me the right side is still the short side is the fact that the other 35 shorts that we have had for a long time did not give any full cover signals. SPW came close but after further examination it appears it reversed nicely off its intraday highs and sold off back to the lower end of the daily range. Since it closed near the low of its session, plus we had no full covers, that hints to me that the right side is still to lean to the downside. However, we must respect that our seven longs still are holding up. However, ask yourself this…do they look “beautiful?” I think the answer is an easy no. Some other stocks we are looking to possibly short in the future with a low volume rally include LH UTX RAI ADP FAST PRE WMT GPC ALK ATI TCL UMBF SYNT FCFS. So keep your eyes on these stocks for future moves. Right now, I have plenty of shorts, and don’t plan on taking too much more, unless the current holdings start making me more money. Cash is still king!
new short positions: none
none
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