Shorting Stock Bubbles

Going short, betting that a stock will go down, is something that only experienced investors should do. When you short a stock, you sell shares of the stock without actually owning them (your brokerage borrows the shares for you which enables you to sell them later). You later must purchase back the shares, which is known as covering. When you short a stock, you hope to sell high and then later buy back low.
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Some Thoughts On Google (GOOG)


One stock I bought during the March freefall was Google (GOOG). I bought some originally at around $520 and then after it dipped, some more in the $420-$450 range.

After outperforming in its recent quarter, the stock is trading around $575 right now. I’ve taken a bit off the table, but I still have about 80%+ of my shares. I’m still deciding what sort of price I’d sell it at. To me, it was an obvious and clear buy when it was in the low $400’s, but now I’m not so sure. Here are my pros and cons:
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Why I Sold My Apple Shares Today

I had a nice little run with Apple stock in the past couple of months (ticker symbol AAPL). In the midst of a Wall Street panic, I was able to pick up shares in the $130-$135 range.

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Studying The Stock Market Trends During Recession

“A recession is possible!” Ben Benrnanke, Federal Reserve Chairman, said this in the first week of April 2008. Now, how does that affect the US Stock Market? The markets are definitely going to plunge southwards. Will this recession will be a shallow one? With the current issues, it looks like a deeper than usual fall in the near future. But, we don’t want to speculate how long the recession will last this time. We want to be on our toes to look for a rebound.
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