i am actually long GM since low 29's
I will sell if eps estimates for this year turns negative - they're allmost there, but not quite.
i am short fnm and fre with puts - most of them for jan 2007, timing is hard so i have taken the safe but boring bets. i do have some puts that expire june, but i am going to get rid of them as soon as they're at my target levels. also have some puts for jan 2006, they will be sold when we get nearer jan 2006.
the longs i have :
DDS
AFC
CNA
ISH
RSC
GM
all my longs are "blood in the streets" stocks, or simply stocks that are very out of favor. (or was when i bought them). I hold onto a stock until it is not too undervalued anymore, then go hunting for something new.
of my longs, GM is definently the one i'm most concerned about. However, it seems like i make the most on the ones that concern me the most. That is why i stick to my system, even though sometimes it tells me to go long stuff that looks real scary.
the system screens the entire us market daily, and provides me with candidates for going long. While i have access to 100+ measurement ponts per stock, i currently only use about 7 or 10 in the system i trade. (which works very well).
i usually make 40% or so on a long position, and it usually takes about 1 to 1.5 years to get there. all the money i make, i use shorting companies, and loosing big time. Been waiting for a real-estate crash since 2003 and it's beginning to be a costly business shorting RE related stuff ;-).. however, i'll keep being short until valuations and imbalances stop making alltime records monthly. |
