Thursday, February 25, 2010

Daily Stock Pick - Thurs., Feb 25 2010

In light of today's bearish action on Wall Street, the suggestion I'm offering is to short the S & P 500. You can do this one of two ways:


1. Short the SPY as it will probably lean into the $104 - $106 range, or,


2. Pick up shares of SDS -- it has some room to move up to $37-$39 range.



As always, it's recommended that no more than 20% of your total risk capital be invested in one position. Given the nature of this market, it might be wise to scale-in your position rather than buy-in all at once.


Obligatory disclaimer: Past results do not guarantee future performance. The suggestions above are simply suggestions and the blogger is not liable for any losses incurred as a result of actual investment activity on the part of the reader.


Happy Trading!

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