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Strategies & Market Trends : Strictly Buy and Sell Set Ups -- Ignore unavailable to you. Want to Upgrade?


To: chowder who wrote (2850)3/18/2005 8:41:36 AM
From: CommanderCricket  Read Replies (2) | Respond to of 13449
 
Dabum,

Regarding KCS, isn't there an inherent risk shorting a stock in a very hot sector? Domestics exploration and production companies are in the top 10 of 185 some odd sectors tracked by IBD (may have the numbers wrong but you get the point).

If the E&P's were going to be bid up and most were, KCS was going to be pulled along regardless of the TA.

You could have nailed the TA right but the sector took off.

How do you manage that risk or do you even look for it?

Michael