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Short Fashion Victims – Part 1
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Short Fashion Victims – Part 1

by MoleJune 17, 2011

As there’s fear in the street now it is our collective duty as stainless steel rats to start collecting short fashion victims for when we finally see signs of a bottoming process.

Always remember that Mr. VIX has a habit of snapping back hard, so you probably want to play these via stocks directly and not options. Alternatively you can always use the entry/target ranges to set up a nice July vertical spread – this way vega won’t kill you once we push up and the VIX drops like a rock.

I am also trying something else this time. Not only am I giving you the raw chart with my entry/exit suggestions – I am also giving you a magnified version with the current NLBL on it. This will allow more conservative traders to take up positions once each respective trade confirms.

Let me be clear that there is no rush on any of these symbols – as a matter of fact, a majority of them may take a few more days to confirm. It’s really tough to pick conclusive lows at this point, but that should not keep us from throwing long candidates on the wall.

Without further ado, here we go – this is my first batch as I have to step out in about 15 minutes. I will post the reminder either over the weekend or Monday morning, so stay tuned, folks!
[amprotect=nonmember] Charts and commentary below for anyone donning a secret decoder ring. If you are interested in becoming a Gold member then don’t waste time and sign up here. And if you are a Zero subscriber it includes access to all Gold posts, so you actually get double the bang for your buck.
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ADSK – I would definitely wait for a clear sign here.

I took that snapshot yesterday – the NLBL has now dropped to 38.22.

FMCN – I think this may be good for a small position – you can pyramid up if it confirms.

NLBL on FMCN.

FST – I’m not super confident about that support line but the momo looks good. This could drop a bit lower, so don’t be too stingy with your stop.

NLBL on FST – obviously still ways away. However, I do like the candle formation – could be the beginning of a low.

HOT HOT HOT! Well, it may be in a few days from now – could drop all the way to 50.

As with most long victims during this Greek panic drop the NLBL is ways away. We probably need a few more sideways candles to justify going long there.

INTU – I’m the first one to admit that this could drop a bit lower – I would prefer taking it around 47.5. But if it starts slowing then a long position may be warranted.

Same story on the net-lines – I’m telling you, I am seeing this across the board, which makes bottom calling a precarious endeavor at this stage.

IP – this has dropped like a rock and I like it as it’s a directional mover. I would wait for 25.50ish for a long position.

That’s right – same story – red across the board and NLBL still some ways away. But keep it on the map.

JDSU could be right for the plucking pretty soon – I”m hoping for 15. Only thing I don’t like here is that the BBs are now starting to point down, so I’d be out rather quick and keep a tight stop once it moves in my direction.

Yeah, you guessed it – NLBL still ways away, especially after this little gap down yesterday.

Alright, I got to run but will be posting more over the weekend. BTW, sorry for posting this so late but as you probably are aware my hosting company completely sucks in the past few days. I’m considering a switch, so if anyone knows of a more reliable solutions provider I would appreciate the pointer.

Cheers,

Mole
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About The Author
Mole
Mole created Evil Speculator amidst the chaos of the financial crisis in early August of 2008. His vision for Evil Speculator is a refuge of reason, hands-on trading knowledge, and inspiration for traders of all ages and stripes. You can follow him and his nefarious schemes at various social media waterholes below.