Ugly Reversal

Hey guys,

Just when we thought yesterday was bad, today's action hits us even harder. Time to take some profits? You bet. But notice I said some. Today, I took some profits in LPHI, VSEC, and a few others. So far, there haven't been any new buys as most of my exisiting holdings are doing just fine, including some recent adds such as EBIX, DAVE, and KTEC. The older picks are still doing good as well. VSEC, VCC, PLPC, RSCR, MVSN, HTCO, SEA and many others are just fine.

Some short ideas: PNRA, VE, ABM, SMG, BARE, POM (watch out for resistance at the 200 day), HPY, and OXM. All short picks should be regarded as speculative, so don't go crazy with the shares. Also, short picks should be regarded as trades and not anything long-term. Finally, use caution as you never know who is the next merger or buy out candidate!

Long Candidates: I will try to post some new candidates tommorow.