Using CUE scans to find shorting candidates in a strong market.


1) I had tweeted a summary of CUE scans a while ago. I am also attaching the same here. Across all but one signal category, the bullish scan (long) provided more records than bearish scans (short). The one signal where shorts were more was "Reversal."

That caught my attention. The market was clearly bullish. I wanted to see which stocks are showing reversal candles on the daily. Upon further CUE 360 analysis,

2) I found three stocks whose industries are looking weak.

3, 4, 5) Technical charts are also looking weak. I have marked the "Reversal" band indicator on the charts.

6) Fundamentals of these three stocks are mixed or strong when you look at all the factors of valuation, earning/revenue growth, dividend yield, etc. However, (9) all of these three stocks are down significantly today while the market is up.

s 1 2020-02-19_13-16-44.jpg  s 2 2020-02-19_13-15-15.jpg  s 3 2020-02-19_13-12-27.jpg  s 4 2020-02-19_13-10-36.jpg  s 5 2020-02-19_13-11-23.jpg  s 6 2020-02-19_13-14-05.jpg 
Does your system allow shorting on the day the market made a new all-time high? It may not be impossible. And this live trade idea proves that.

Lucky? Sure. Only luck? Probably no. You check out the forum posts to decide for yourself.

Yes. Now everyone knows that the market is weak.

However, I suggested these three shorts on the day $SPY made a NEW ALL-TIME HIGH. That was on 19th Feb.

1) I suggested the shorts on 19th Feb.

2) By today, all three stocks have given significant profit.

You may book at least partial profit. Or, at a minimum, make sure that you end up with an excellent profit in each trade using a trailing stop.

b 2020-02-27_9-58-48.jpg  k 2020-02-27_9-59-17.jpg  r 2020-02-27_9-59-02.jpg 

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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