>> Shorting these hype stocks on the way up, taking my short term losses in order to make the big money on the collapse has worked for me <<
Just curious, hypothetically (sp??), if you had waited for the start of an obvious downturn before shorting one of your winning short stocks, how would you have done by comparison with how you did? OK, that wasn't very clear. If you don't mind, would you look at one of your successful shorts and calculate a) total return made on shorting on its way up (i.e. temporarily losing money) plus what you made when it dropped (recovering what you'd "lost") versus b) what might have happened if you'd waited until the stock dropped, say, 25% before jumping on the short bandwagon? Assume you covered at the same price in both cases.
I've done very well when I shorted (last year) AOL, NSCP, and VIAS. In each case I waited until it had dropped a pretty good chunk already, but was in enough of a downtrend that a dense person like me could make it out. So I didn't have any loses to recoup, and started profiting immediately.
Not following that discipline with DDIM was one of my dumber moves (basically, I kept looking at the price and saying AAHHH, it has to drop immediately, then shorting some more).
I'd love to short AOL, LCOS, XCIT, etc., but not until they stop moving up...
(OFF TOPIC)
Yup, grew up in Appleton, Wisconsin; went to school in Grinnell Iowa; now I'm beginning to finally get warm in McKinney Texas. Do you remember which Grinnell professor it was?? |
