07-22-03 02:09 PM Yes, right. One time I was short Ebay @ about $84 and covered about the same price due to a gap down. Apart, this was a pair trade in combination with the qqqs. The second time I was selling successfully a naked call, which expired worthless. Please check the postings. If someone is short a stock that goes to the sky it doesn't mean that he has to loose money. If you are good, you come out of a position without a loss or a small one, even when you are deadly wrong. You can also check all the other postings. Hey, i didn't say that you didn't make money or someone who shorts a stock that goes to the sky has to lose money. just wanted to confirm where the opinion of shorting CAT came from. Jake
Update: I'm still short CAT, position is now in the red, but it doesn't matter as I have long positions with a higher beta. Instead of covering I'm adding more, which was one possibility right from the start. So far, all is according to my plan. No fear, willing to add even more on the short side, because position is still small to my overall portfolio.
Doesn't matter what part of your portfolio CAT is, shorting a spike in an uptrend requires taking prompt profits on the short lived technical reversal. Now you are caught against the trend and you have nothing to hold onto but hope. "So far, all is according to my plan". ??????? This sounds like deluded rationalization.
No, I'm not caught I have a spread with the diamonds. I will give you an update when I cover with a profit.
All time high and a strong market= exactly the right time to short a stock like CAT!! But still, my overall portfolio has more long value at the moment. Time will tell what is profitable. It's when you cover that's counts.
Heilbronner, I hope you make a fortune with this trade! All I know is I trade what I see not what I perceive to be. Good luck!
...All I know is I trade what I see not what I perceive to be... Sometimes you can see a damn little thing of an iceberg. Also good luck to you.