Hello Peter V:
I did not doubt for a moment you were persuaded by the testimonial.
I wanted to short 500-1000 shares ZONA at 20+ last week, hoping for a rise to 21-22 first--and an account a little too tight on margin for anything otherwise. I have been tempted to short now, and if I do it would be a very minor position-- a few hundred shares maybe just for a marker position. I haven't dug into the company yet, but I believe Mr. Wexler's assessment would likely parallel mine.
If I recall correctly, I associate a 1 year time frame for nothing much to happen with ZONA. I am hoping yet for a run back up over 20. The biggest risk to this approach would be a bear market, which I am not expecting yet -- there is too much money sloshing around in the country yet, and marked with obviously poor choices for its stewardship. When the sloshing diminishes, then a bear market should set in. Meanwhile, a healthy judiciousness for only the most compelling short situations and at the right time, should be my approach.
Without my back against ever higher highs comfortably, I feel compelled to change my approach from 6 to 10 shorts, with some major emphasis on a few of those (with a close watch. of them, too) to an approach with maybe 20 modest positions and in a minimum of 6 or more sectors; very likely no more than 3 or 4 stocks in any one sector. Without the market extremum, diversification is vital for a healthier portfolio, to manage the vagaries of the marketplace to advantage.
Best regards,
m |
