March 15th - SLXA
Well Cramer had one good shortable pick tonight. The stock SLXA, Solexa Inc. closed today at $8.25. Now, Cramer mentioned this one after 6:30pm and my brokerage only lets me trade until 6:30pm. This one closed at to $9.65 after hours a 17% gain. I could see this one trying to hit $10 since it is a psychological number. If it hits $10 I may short it. I may even short early in the premarket depending on how the price holds up. With my buying power I would look to short 600 shares and look for a .20 cent drop in price for a $120 gain. We shall see what happens tomorrow.
posted by CramerTracker @ 3/15/2006
3 comments
Comments on "March 15th - SLXA"
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Anonymous said ... (March 15, 2006 10:28 PM) :
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CramerTracker said ... (March 15, 2006 10:37 PM) :
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Anonymous said ... (March 16, 2006 1:30 AM) :
post a commentIs it really worth the risk to short for a target gain of $120 when you factor the brokerage fee and capital gains? I'm not sure how the risk for a $75 net profit is worth it.
Thanks for your comment. In my research of Cramer's picks every single one of his picks that I have seen goes down the next day with the exception of ANGO the other day. Yes capital gains and fees cut into the profit, but for me I feel the gain is worth it for what I feel is low risk, especially if a tight stop loss order is set.
I think its great that you have figured out how to play Cramer pumps. I have noticed that the larger drops come a few days later when the stock is no longer in favor and the people that bought and held seem to get impatient and scared, more inclined to dump on down days at a lose. The more seasoned Cramerite does what you do in reverse, I suppose one could make money going long and then short but in this case timing is everything