RE: [CANSLIM] short selling (WEBX)

From: Mike <PatternDT@SoftHome.net>
Subject: RE: [CANSLIM] short selling (WEBX)
Date: Mon, 11 Aug 2003 09:43:26 -0400

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 >>  ... Keep it simple. <<

Does it make sense to hedge a CANSLIM portfolio against an index?  CANSLIM 
intent is to outperform the average in an up M.  Can we also assume that 
when the M is down the best will drop less, if so then in theory, with 
hedging there will be profit either way.  Hedging of course eats profits 
and better to trade directionally in general.

Adding a hedging position provides safety for less commission than closing 
and reopening the whole portfolio.  Futures are my vehicle but for more 
commission we can short an index or buy a managed fund like BEARX.

Keeping the CANSLIM portfolio intact and working per it's rules, of course 
if the M is down then CANSLIM gets out, but there are high risk periods 
like now where the M could be seen as consolidating without confirmation 
either way.

Mike


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