Here's my latest Spin for all TRAC Longs
First of all, you should try to ignore all the
pump and dump, shorting rhetoric going on now
in the Yahoo theads about TRAC. The fact of
the matter is, there is such a tiny float on
this stock, that you could not short it even
if you wanted to as there are no shares around,
so most of these guys are not actually shorting,
but maybe hoping to get it cheaper for a brief
and profitable ride back up again. Besides, the
thread heads there and on AOL can't possibly be
a significant player in the amount of volume
we are now seeing in this stock. There was
very nice buying support under $20. I expect
that to remain the floor as long as the float
keeps turning over. If we edge up above $24
again today, we should see a short covering
blowoff higher near the market close just like
we did yesturday. If we close below $20 then
the ride may just be over, and waiting for next
week will be too late to take profits. While
I did post earlier that it may pay to wait till
next week for the General press to write about
TRAC after Monday's trading service starts, I'm
changing my timing on that to tomorrow, Wednesday.
You see, the dramatic volume and price rise of
TRAC yesturday has already brought this stock
to the attention of the General press who are
likely to write about it today or tomorrow, thus
bringing in the last wave of new buying, and giving
older longs a good opportunity to get out on top.
Also, Yahoo is reporting it's hit numbers Wednesday,
and that will probably signal the start of profit
taking on the whole Internet Sector that has risen
the past two weeks in anticipation of great numbers.
This is the quarter after all those sub-$1,000 PC's
were sold Xmas, and we all want to see how dramatic
the Internet Hit Activity has risen since. Anyway,
these two issues; premature TRAC press following,
and Yahoo's psychological blowoff numbers may be the
best time to sell at least half of your holdings in
TRAC, and that is what I'll be advising my people.
Good Luck to all you single digit longs,
hope you hold the other half for the year
to enjoy lower taxes on your capital gains! |
