Shorting Facebook well ahead of others and making a ton of profit - did you?


1) I shared FB as the most appealing short among the FAANG stocks in my YouTube live session on 11th Jun 2020. And it did give a short setup using the CUE technique. As FB was at a high price level and a big brand name, it would make sense to take the bearish trade using short-call-vertical to keep time decay in the trader's favor.

2) That bearish trade setup was using the reversal at the CUE Watermark pivot resistance and the CUE Headwind reversal signals that appeared at that time. I had shorted FB using short-call vertical options.

3) Since then, FB has dropped significantly (and has fallen most among the FAANG stocks). The short-call-vertical that I took using monthly options (July expiry) has more than 50% profit by now.

4) CUE Vital shows that FB was medium-valued with negative and reducing earnings growth - that allowed CUE traders to short it.

5) Its industry was and is relatively weak, as shown by the CUE Edge industry scorecard.

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1) The NASDAQ ETF, $QQQ, tried to go down after the open and stopped precisely at the Memory trendline support and reversed. I had shared such bounce possibilities in my weekend market roundup video. And I was ready to book profit in my short positions if that happened.

2) Facebook also tried to go down first and then reversed.

3) I used that reversal to book profit in several of the short trades that I shared in my forum earlier. Including, that in $FB where I booked a profit of more than 60% using short-call-vertical trade.

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Disclaimer: This site is for educational purposes only, explaining the use of CUE systems and techniques. It is not for trade advice. Trading involves risk. You and only you are solely responsible for the outcome of your trades.

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