Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Ask DrBob -- Ignore unavailable to you. Want to Upgrade?

To: the navigator who wrote (95432)	7/19/2007 7:43:09 PM
From: The Reaper	Respond to of 100058

Too late. Easy money has been made. Any day you run the risk of Feds stepping in and saving the industry a la the savings and loans. Short squeezes would be very painful. However, some of the other commercial banks may be ripe... WB, BAC. Hell I just got a 100K loan from Capital One for my business with my signature. No collateral, nothing. That was just 4 months ago so there are plenty of shaky loans out there still that haven't come to the surface yet. Not saying mine is shaky however.... yet.

To: the navigator who wrote (95432)	7/20/2007 12:32:55 AM
From: Drbob512	Respond to of 100058

up the stairs: Be very careful shorting when you don't have experience in doing so. One should either consider doing some paper trades first, or using a mentor to help them short. I, too, would be hesitant to short the brokers at this time because they have gotten oversold technically and the overall market appears to be continuing upwards. It is usually a safer bet to short etf's or individual stocks when the trend is down overall. I'm sure if you address this to FLACK or lakeoffice1 directly, they will be happy to give you some insights and advice. regards, drbob

To: the navigator who wrote (95432)	7/20/2007 10:54:09 AM
From: FLACK	Read Replies (1) \| Respond to of 100058

up the stairs ... stay away from shorting - especially in an up market. As DrBob said, the best time to short is when the the broad market is declining... easier to then go with the flow. Paper trade a few shorts and see how you do. Keep a journal of these paper trades... - why you're entering the trade- news? charts? - your trading rules-is this a day trade or a swing trade? - your stop limits and why you've selected them - your risk to reward levels- ususally support/resistance levels - why you think the trade worked or didn't work - your profit or loss results A journal of paper trades is a pain in the butt... but it will help you to develop a sense of timing short trades. In general, when you go short, you must be faster on your feet than when you go long... sell your short positions sooner than you would sell your longs... unless the broad market is declining.