This market is hard – version 7 – The FED holds steady AND "Down goes Hansen's"

Posted by Howard
on August 8th, 2006

The Dow holding 11,000 masks the carnage underway in the average stock. Trust me – their is carnage.

The FED just decided to hold rates steady – DUH! It is only a matter of time before rates start getting cut. AMERICANS HATE PAIN. Doubt that – go look at the bandaid section in a Walgreens :) .

All good things must come to an end. Today was the beginning of then end for Hansen’s Fruit Juice (HANS).

Turns out the juice does not cure cancer . By the time this stock sees single digits, their juices will be blamed for causing cancer :) .

Trader Tim has more and he was short the stock.

Extra Kudos to Trader Mike for choosing HANS as a short in my paired trade contest. He may actually have taken the lead from me.

There is a good lesson about shorting. You do not need to catch the top in a high flier to make money. There are plenty of shorting opportunities for entry after the stock is broken.

In the market, it pays to gang tackle and pick on the little guy. If you don’t someone else IS!

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.