As I suggested last week, the market fell this week, and more longs were stopped out. OCN was stopped out for a 24% profit, while EWA only for about 1%.
I am only selling my longs because they are breaching their 50 day moving averages. I am not selling them because I believe the market is going to decline. I do not know if the market is going to decline.
- If the market does rise, then some of my shorts may get whipsawed, and I will have to replace them with longs (see previous posts for today).
- If the market falls, then I will simply add to my existing shorts
I shorted this stock on Friday. I shorted it because it is currently in a downtrend:
