Update: Sold ALSK short at the close on 9/25.
It’s getting tough to find ideal short setups now that the SEC has banned financials from being shorted. I can’t tell you how many setups I have to toss out because they fall into the SEC’s list of stocks. It’ll be interesting to see what happens once October 2nd rolls around, and the ban is lifted. But to be completely honest, I wouldn’t be surprised if they extended the ban, and perhaps even expanded it into other sectors or even the market as a whole.
By the way, we are working on sending out an intraday alert that will allow for our subscribers to be notified when we short these stocks. So quit being cheap and subscribe. The $99/year subscription rate will only last a couple more weeks at best, then we are raising our prices.
As of today’s short, ALSK, descent setup with good potential. Not quite the big-time gainer that we are use to where the stock shoots up 50-100% before finally seeing the buyers run for the hills. If the stock goes against you, I wouldn’t wait too long to cover the position, tops being around $12.75/share, with a profit target of around 11.50. These are rough estimates of course.
By the way, kudos to those who were able to get in on the AHC trade yesterday. If you sold at the market close you should have realized gains of 10-12%.
Here’s the ALSK chart…