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Strategies & Market Trends : Roger's 1998 Short Picks

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To: McNabb Brothers who wrote (16372)12/23/1998 12:27:00 AM
From: BelowTheCrowd  Read Replies (1) of 18691
 
Hank,

The unfortunate reality is that I don't think there's going to be much of a shorting opportunity in the internets. When it falls apart, it'll fall apart so quickly that shorting will become almost impossible. Everybody will run for the doors. After that there may be some opportunities as stocks search for a bottom, but the biggest drop will already have taken place.

About the only way to short those stocks will be to have "boxed" yourself in well in advance, and uncover while the market is in free fall. Even this may be difficult. Bubble bursts are rarely pretty and rarely easy for either the longs or the shorts.

Mostly I'm just avoiding the sector, with some exceptions like TGLO, where I think the imbalance situation and recent marginability of the stock is likely to push it higher in the short term.

mg
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