Covered 5,000 shares short at $27.21. I had shorted them last Wednesday with the stock at $27.62. Profits amounted to 41 cents on 5,000 shares less two $10 commissions or $2,030. Cash margin reguirements were $27,620 and so this investment earned a nominal 7.4% for just five calendar days.
In the past, board members here have asked what good the RSI indicator is. Now you can see what good it is. Whenever you see readings in the 73 to 76 area, the stock is getting into STONEWALL NOSEBLEED territory and a tradeable decline is imminent. From here on in, I will always be shorting whevever I see such readings.
The stock will likely go lower near term but with the index down to the 62's when I covered, I didn't want to let such easy money slip away. If the stock goes much lower, I'll start to re-establish some more long positions.
02/04/2013 15:52:43 Bought to Cover 600 PFE @ 27.2099 -16,325.94
02/04/2013 15:52:43 Bought to Cover 300 PFE @ 27.21 -8,170.00
02/04/2013 15:52:43 Bought to Cover 4100 PFE @ 27.2099 -111,560.59