Eric, >>BFIT seems like a long steady short, rather than a volatile fast mover like the y2k or internet stocks. It does seem to have a much bigger downside potential than upside potential.<<
Yes I see BFIT as one of those in which you have to let gravity do its work. Despite their greater volatility, I have the same opinion on the y2k shorts which I plan to just hold until they reach significantly lower levels (In this I disagree with, for example, Roger. Yes, these stocks may have an end of year rally but assuming the market has finally seeing there is not much potentialbehind these stocks, you may cover and then see them continue in the direction they should be headed: down) My experience is that I usually have a better average in holding long term than in short term trading.
This been said, AOL, YHOO, AVNT are different animals. People are a bit irrational about these ones. I am short all three. In the case of AVNT which I was lucky to short at 27 just before it started to nose dive, I think despite the sign of strength las Friday at the closing, in which it recovered from 20 to 22.5, I think it would be safe to hold the short a bit longer (I will, which does not mean it could not be back to 30 by Friday!). AOL, and YHOO, I believe are volatile enough so that in this market they should easily see 10-15 points below their current levels, at which point I will cover(again easily does not mean certain. Probably these pupies will stay up where they are and even go higher, but IMO this is the lesser probability event).
On DELL, I think that given the current market, how high the stock has gone, and fundamentals of the PC market it may be a safe short. have not looked at it.
I will study SBO (have to keep reminding myself that the ticker is not SOB!)
regards,
Pancho |
