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Re: Penny Lane post# 106229

Wednesday, 09/10/2008 7:49:59 PM

Wednesday, September 10, 2008 7:49:59 PM

Post# of 174967
Penny: Going short in PSL10:

You picked all the long stocks you need... BWG, BPTR, SYTE. Pick cash as your 4th position and two DOUBLE BETA short ETF's. In case anyone reading this doesn't know, DOUBLE BETA shorts mean twice the gain as the underlying index falls. So, if the NAS dropped 1% in a day, the DOUBLE BETA short equivalent (QID) would go up 2% in the same day.

We don't allow individual stock shorting, but certainly, the ability to have two DOUBLE BETA shorts and cash should be more than enough to offset the three longs - assuming the person picked their shorts (not intended to be reflective of my personal habits) and snatched their longs (won't go there) wisely.

P.S. Nobody around here is more bearish than me - unless it is Rogue - yet, we and other bears on the board, will participate.

Len


Warren Buffet: 5 minutes and 17 seconds of pure, unadulterated, bulletproof, flawless logic.



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