By Scott at Sabrient and Ilene at Phil’s Stock World
Tuesday’s housing report set the tone for a continuation of the weakness in the market we have seen since August 10, 2010. DHH short tilt has allowed us to capture some nice profits on the way down. S&P 1050 is a possible support area as indicated on the chart below and so we feel it is a good time to get off the RAIL which we suggested shorting on July 29, 2010 at $24.25 and has given us a profit of 11.71% in just under 30 days. We believe there are other opportunities out there that give us a better risk/reward now that RAIL has shed 11% of its value, and we will replace it shortly.
BUY TO COVER RAIL, at the market Tuesday August 24, 2010
Chart by FreeStockCharts.com
