Sentences with phrase «new short positions»

As a «sell» signal matures and becomes more confirmed by time and price, short selling of weak stocks also becomes part of the trading plan, but for now it is still too early to enter new short positions for momentum swing trading.

When the stock market is already in a confirmed downtrend and stocks start bouncing off their lows, it may be tempting to start initiating new short positions in stocks and ETFs with the most relative weakness.

Although not shown on the chart above, we subsequently also began entering new short positions on April 20, just in time to catch the Nasdaq's big breakdown below key support on April 23 (the following trading day).

We only need to know one thing right now: as long as our proven market timing model remains in a «sell» signal, we will be looking to establish new short positions into strength when the major indices bounce.

Furthermore, one could be looking to establish new short positions when the broad market starts bouncing into its new resistance levels, which would thereby create positive reward to risk ratios and low - risk entry points for selling short and / or buying inversely correlated «short» ETFs.

Nevertheless, we have not been willing to establish new long positions over the past few days (though we entered a few new short positions) because experience has shown us exactly what can happen when the volume patterns in the market suddenly turn bearish.

There is not yet any technical reason to assume the broad market has formed a significant bottom, but it is equally risky to enter new short positions right now because stocks are due for a substantial bounce (the Nasdaq is on pace for its sixth consecutive week of losses).

However, even though our market timing system is still in «sell» mode, as it has been since October 12, we are now in a situation where the reward to risk ratio for entering new short positions at current levels is simply not positive.

The greater of: $ 2.50 per share OR 100 % of the market value + sale proceeds Ally Invest does not allow new short positions on stocks below $ 3.00.

So, if it's too early to start buying stocks right now, but conditions are also not ideal for initiating new short positions, what is the best plan of action right now?

Although not shown on the chart above, we subsequently began entering new short positions on April 20, just in time to catch the Nasdaq's big breakdown below key support on April 23 (the following trading day).

Also, if you are new to our ETF and stock short selling strategy, be sure to check out this article on our trading blog, as well as this brief trading strategy video, both of which provide a good primer on how we enter new short positions.

Short - seller Jim Chanos announced on CNBC on Wednesday a new short position in liquefied natural gas player Cheniere Energy, a company in which billionaire hedge fund manager Carl Icahn has recently taken a sizable long position.

Jim Chanos announces on CNBC a new short position in Cheniere Energy, a company in which Carl Icahn had recently taken a sizable long position.

Again, entering a new short position while a stock is breaking down below the low of a range is not something we are very comfortable doing:

Yet, even though we prefer to wait for a bounce before entering a new short position, we also do not enter a new short position while the stock is still bouncing (trying to catch the high of the bounce).

In our original March 18 analysis, we said we were stalking $ GLD to enter a new short position (or buy a «short ETF»).

However, since most stocks are already too extended to the downside in the near - term, it is crucial to wait for a decent bounce before initiating new short positions (be sure to review this classic blog post for the key points of my short selling strategy).

Now that the change to an overall bearish sentiment has been confirmed, we are now patiently waiting for an eventual bounce in the broad market that will provide us with ideal, low - risk entry points on new short positions or inversely correlated «short» ETFs.

When looking to profit from a stock or ETF that breaks down below support, then subsequently bounces into resistance, we prefer to avoid entering a new short position while the equity is still moving higher.

Until the inevitable broad market bounce eventually comes, we plan to avoid entries into new short positions.

Then, later that day, 3 new short positions (2 inversely correlated «short ETFs» and 1 individual stock) triggered for swing trade entry.

We personally view any substantial bounce in the stock as a chance to sell into strength and / or initiate a new short position, as the technical are indicating further downside to come.

Now that we are flat, our plan is simply to wait for the broad market to bounce into resistance, then initiate new short positions and / or buy inverse ETFs (as previously explained).

Rather, we prefer to keep our powder dry by waiting in cash for ETFs and stocks to rally into new resistance of key moving averages and prior lows, then initiate new short positions (or buy inverse ETFs after they pull back to support).

(Clusterstock) Pershing Square's Bill Ackman has a new short position.

That said, as we noted several times, these levels are not favorable for new short positions, and sentiment is bearish enough to justify a more durable rally.

What happens if you buy stock to close the short position, then immediately establish a new short position?

The last time I entered a new short position was early January this year when I shorted STP (down 66 % since).

He reentered the hedge fund business by founding Pershing Square in 2003 and taking a new short position against MBIA, purchasing credit default swaps that would rise in price if his predictions came true.