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To: Sam Sara who wrote (83051)	11/3/1999 8:27:00 PM
From: Eric Wells	Respond to of 164684

David V - thanks for the advice on shorting. I wish I could share with you and others on this thread my trading records to let you know of the money that I have made on shorting stocks over the past 3 months. Stocks that I have a net positive return from shorting for different intervals include: EBAY, AOL, AMZN, CMGI, PCLN and INTC. I have a net negative return in shorting only two stocks: YHOO and GE. In the most recent TheStreet.com investment challenge that began in the beginning of August, I set up a fictitious portfolio where I had three short positions: RHAT, EBAY and PCLN. I established the portfolio at the very beginning of the challenge and did not change it at all. By the end of the challenge (two months later at the end of October), out of a field of 10,000 portfolios, my portfolio finished in the top 200 - with a total return of approximately 40%. Most everything you write about shorting is correct - it's risky and I recommend it to no one (of course I don't recommend anyone go long any of the hot internet or b2b stocks either - I seem them as being too risky at their current levels). Most money is lost in shorting in this market when a short position is established and held for a long period of time. I have found that strictly adhering to max pain levels limits losses on shorting. Believe me I know the risk of the ICGE short position I established today - but also believe me it was a very small position. My decision to short ICGE was not based solely on valuation - there were a number of other factors (I detailed these in a recent post to William). I cannot help but feel though that ICGE is incredibly over-valued at this level (I know, I know, fundamental valuation means nothing in this market - this is after all, a casino). Thanks for the info. -Eric

To: Sam Sara who wrote (83051)	11/3/1999 8:35:00 PM
From: oilbabe	Respond to of 164684

David: Short story for those who short on valuation: Piece of crap, and I mean CRAP stock in 1995, DNA, skyrocketed from $12. to $118. in a few weeks. I shorted all the way up, KNOWING that there was absolutely NOTHING there. I was right. DNA was eventually delisted. Unfortunately I got squeezed. How do I remember the top? That's where I covered!! Never again have I shorted a stock based on valuation! The most expensive lesson I ever learned, but then they are all expensive in this business I guess.