ACtually I have never had a short triple on me, and only one double on me(KREM). I guess what I am saying is, I have seen so many people get greedy, start a position with way to much of their capital, turn around, come back three hours later and see that it's tripled in price. I've seen it happen, margin calls and everything. I am just prepared that temporarily it could conceivably triple in price. But, if I have researched the short properly, and allocated properly, I should have the nerve to hold out and wait for it to come back to earth.
Here is a recent example only three days ago. ZERO. A bunch of questinable press releases about a questionable product. I started a position short at 8. I watched it hit over 14 the next day, I shorted a lot more at 14. Today it's in the 7's. It didn't bother me that it double in one day, they almost always come back to earth, of course there are those few that don't come back right away(KREM).
I have actually been watching several of the manufactured housing stocks as well, but havn't taken a position yet. I agree, I wasn't even born yet when the bear market of 73-74 was around, so I have no idea.
chbartel |
