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Strategies & Market Trends : LastShadow's Position Trading

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To: Judy who wrote (811)10/1/1998 8:40:00 PM
From: LastShadow  Read Replies (1) of 43080
 
Shorting

I got some pm's about shorting, and there are a lot of thoughts on this one, but I will offer a general rule of thumb:

Short when the stock is below the negative sloping 50 day MA (in other words, the 50 day MA is trending down) and the Accumulation/Distribution is negative and declining (i.e., under distribution).

Buy to Cover when the trendline reverses.

There are other guidelines with a little more finesse, but I've never seen that one be wrong.

lastshadow
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