The market got its above average volume today on the Nasdaq and, once again, it was another big down day continuing the trend of higher volume big down days since the overall low volume began in June. The good news, this time, is that we have some new shorts to take for the next market session. Now, history being a recent guide, this means that stocks will rally tomorrow and give us small losses on the new shorts. However, I know that eventually trends change and if we are beginning a new leg lower where the July lows go bye-bye we are in good position to start shorting now with more and more stocks looking to rollover. Besides these three new shorts, I also have four early or more speculative short positions for PLAT subscribers. One of these early shorts is SNDK and could be an early short if you use the 50 day moving average as your final cut loss area. Still the stock is in an overall uptrend and I want to remind you it is a riskier play right now especially if the market does not continue to selloff. Cash remains king but it looks more and more likely that a rollover and new lows are coming.
new short positions: RSH GYMB ROK
RSH is putting in a bearish intraday reversal near the death crossing 50 and 200 day moving averages, closing near the lows of the day, on heavy volume with negative BOP. Cut your final loss with a close above the 19.85 level, if the stock does not move lower immediately.
GYMB is putting in a bearish intraday reversal near the 50 day moving average and is breaking down below long-term support, closing at the LOD, on strong volume with BOP going heavily negative. Cut your final loss with a close above the 41.67 level, if the stock does not move lower immediately.
ROK is putting in a bearish reversal right at the 200 day moving average a day after failing to close above the 50 day moving average, closing near the lows of the day, on heavy volume with BOP barely holding on to the zero level. Cut your final loss with a close above the 52.76 level, if the stock does not move lower immediately.
