Attempting to go against the trend will usually get you no where and you will most likely incur loss of time, money and effort. I have been watching some of these stocks below to initiate short positions but they have yet to break down. I was lucky enough to close out my short position in JVA today just before it started to squeeze. I attempted a short position in ONTY when it breached the low of the morning at 9.10 but it only bounced back and I stopped out. To short stocks like these, you just have to sit on your hands and watch them constantly until they are ready to break down and confirm a change in trend by making a lower low and a lower high. The reversals in these stocks are so quick and if you are not watching closely, you will miss out on the perfect short.
Still trending higher (for now):
JVA
ONTY
Possible short term reversals in trend:
PCYC
YOKU
In the meantime, Lesson to me: don't fight the trend, trade the trend until it stops or wait for the perfect short opportunity to present itself! Trade what you see, not what you think.
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