This is a “sophisticated” trade? The short percentage of the float was 41.6% a/o May 10th.
Here we have a local (San Diego)company (how cute, convenient, and lazy) with nearly 50% of the shares available to purchase, already sold short.
Pigs get slaughtered…so do sheople.
I would encourage the readers here to be very careful about following anyone’s strategies (mine included, as this trade could work out wonderfully well..who knows?) especially those who claim to be “sophisticated investors” and then throw out a strategy any simplot could have picked(and has…41.6% short ALREADY) on his/her own:
Let’s see…company does only sub-prime lending..lots of ARM resets ahead..think I’ll throw my dart at this one.
If it seems too easy..it is. Remember, there are a LOT of institutions out there who monitor stocks like this every second of every day. Be prepared to lose your ASS going short. Look into buying options if you are that bearish (your downside risk/loss exposure is limited) instead.
