Two Thumbs Down

Let go of Netflix shorts when markets re-open on Tuesday, 26th.

With four more days of trading until the new year, I'm rolling up my positions. I will re-evaluate my two stocks left and look for more, as I battle the idea that the market could finish at an all time high.

If you shorted Netflix when I suggested at 29.50 you would have a 12% gain. The stock is currently at 26.20 and sitting just above 200DMA support and 50WMA support.

I still think this is a stock to short, based on two simple facts:
1. Competitors are emerging from everywhere
2. Downloading is the future of rentals, not mailing

I would rather not lose money we've already made if NFLX gets a pop based on technicals. Bank the money and lets look forward to a great 2007.

Merry Christmas
-Chris