11th day of QQQQ short term down-trend; in cash and short; submarine stocks


The down-trend continues and the market remains in a correction, according to IBD.   I ran my submarine scan to look for possible weak stocks to short.   Among the stocks I found are: MICC, AKAM, PVH, SAN, HSP, VCI, CTRP, CREE, DLB.   I short stocks in my IRA by buying deep in the money puts.   Once the stock falls I often buy shares to lock in the gain and ultimately put them to the option seller at the strike price.   Note that DLB now has a BWR pattern, with all of its shorter term averages (red) below its longer term averages (blue). Click on weekly chart to enlarge.   BWR is a submarine pattern.

3 thoughts on “11th day of QQQQ short term down-trend; in cash and short; submarine stocks”

  1. So, who is right….IBD or the market? Stocks like SXCI and LULU are skyrocketting, your BWR is going down…. but the trend is up!!
    Further, Why a stock like LULU behaves that way? EPS came out a few days ago with flying colors, much higher than expected, but instead of going up, it went DOWN, and 3 days later it shot UP!! I am staying the course with my stocks and ride the short ups and downs little waves!!!

  2. Did you short Cree By any chance. According to my rules, this would be a short sell signal but I feel that because it gapped down a great deal I am afraid it it may try to retrace itself and I might get wipsawed once again.

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