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To: Alan Buckley who wrote (184)11/16/1999 1:37:00 PM
From: The Other Analyst  Read Replies (1) | Respond to of 838
 
OT--You can just enter a stop order. Not a good idea if the stock is illiquid, but yes, they do require closer monitoring. I also like shorts because they force you to be a little more diligent in your analysis. It's one thing to look at a stock and say you are going to avoid it because it looks a little rich. It is another to do the work to support a conclusion that it is overvalued, and to identify the catalyst that could cause it to correct. Yes, I know people have lost money on shorts of fundamentally overvalued that went up even more. I still like them anyway.