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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 457.82+1.3%Jan 23 4:00 PM EST

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To: 2MAR$ who wrote (88307)3/25/2012 3:43:53 AM
From: Haim R. Branisteanu  Read Replies (1) of 219713
 
Shorting LULU IMHO it is too early to better understand the mass mania that gullible investors and speculator use to bust shorts watch other fad companies even if they had a justified business model but over-hyped by WS for the simple reason to employ the Blood Sucking Vampire Squid (BSVS) strategy.

Short interest, price action, including intraday, and volume are the culprit.

Always if a stock goes down intra-day for no reason and closes close to open or higher it means it is manipulated and there are way too many shorting the stock who are closing positions at days end. Also pay attention to Friday's price actions.

Some examples -

KKD period of 2002 to 2004 - long time for sanity to arrive
AMZN 1999 to 2000 relative short time for sanity to arrive
LIZ oscillating between hype and demise for a long time - viable business but again based on a fad of the founder concept.

In general wait for the second price "peak" and volume slowing as indicators of shorting.

My own remarks on LULU - their business model is based on under-stocking merchandise and hideous tactics of listening to private conversation of consumers in the dressing room.

This is invasion of privacy and until some smart attorney will file a lawsuit against the company for use of unauthorized information for business purposes gathered illegally the practice can go on until it will hit the wall of justice with mounting lawsuits like those faced by pharma companies, even that there is no comparison but invading unauthorized one's privacy is a severe criminal offence.

May be an attorney can throw her/his opinion on my observation.

I am certain that no young gal or woman would like to be overheard and reported as to her conversation in the dressing room more so that not all conversations relate only to the clothing piece she intends to buy.
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