Originally posted at Capitalstool.
JFC, I just got hit with another tout that will obliterate one of my profitable short trades when it opens in New York this morning. In Barrons this time. This looks really bad. There are no bids shown in the pre market yet, and the lowest ask is 20% above yesterday’s close.
Fortunately it’s less than 10% of my trading positions, and less than 5% of my trading port total stake. But it’s still irritating as hell.
I had a trailing stop on this profitable short, which I now must cancel, else I lock in a huge loss. The name of the game now is loss minimization. The most prudent thing here is probably to fade the tout, by doubling up again once the opening spike is exhausted. I did this yesterday to good effect. I’ll have to see where this one opens. What a joke.
I mean, this shit goes on ALL THE TIME, but you notice it when you have an opposite position and you start feeling big red welts on your ass for no reason.
The stock started moving up yesterday in the last 90 minutes as the market was cratering.
This morning, a market maker in this pos, Cowen, has an analcyst touting the stock in Barrons. It will open, much, much higher than yesterday’s close. Do you think that they were accumulating a position ahead of this scheduled news item?
Whoda thunk.
The criminality is breathtaking. This is no accident. It’s the Street’s business model.
