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         Daily Blog - Tiger Software

           New TigerSoft Short Selling
               Tools and Techniques

                                October 21, 2007

William Schmidt,     - Tiger Software's Creator
      (C) 2007 William Schmidt, Ph. D.  - All Rights Reserved. 

      No reproductions of this blog or quoting from it
      without explicit written consent by its author is permitted.

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      to william_schmidt@hotmail.com

                    New TigerSoft Short Selling
               Tools and Techniques

Only $98.====>  Get our TigerSoft Special Here and run the same programs shown here.

                   We always look at the weakest stocks in order to to make the lessons
    as clear as possible.  As the DJI has now gone 55 months without a decline of more
than 10%, it would be wise to consider some short selling techniques.  Of course,
            there are ETFs that now let you be long on a short sale.  And these are fine for many accounts.
            But we make much more money using the approaches outlined below and expanded in my book,
            Killer Profits in Any Market using Tiger's Original Accumulation Index.


In the chart below, notice first the bold major Peerless S9 and S12 Sell signals.  
          These are our most bearish general market signals.  The software lets you impose
          them on any chart.  The first thing you will want to do when we get a reversing
          Peerless Sell signal is to look at the weakest stocks, stocks making new lows and
          stocks in the weak groups.   It usually takes a few days for the market to roll over. 
          So you have a little time.   Selling FMT short on the January and June Sell signals
          would have worked perfectly.

                  A second powerful system is based on the original Tiger Accumulation.  When it
          dips  below -.25, wait for the next recovery.  Then when the Accumulation Index goes back
          below its moving average, sell short.  The vertical lines illustrate where short sales
          would have been made using this system.
  The best such "Accumulation Index MA
          penetration Sells" take place between 4 and 8 weaks of the previous dip and coincide
          closely in time with a price violation of the 50-day ma.

          wpe12.jpg (48836 bytes)

                     A third, very simple approach also based on the original Tiger Accumulation
          is to sell short when our index is deeply negative and the stock violates its 50-day ma.
          Very negative Accumulation Index readings below -.25 show, we postulate, informed
           insider selling if the stock then starts to weaken more than the market as a whole. 
           That is true for TGIC below in January.  The rest of the market turned up in February,
           but not TGIC.   A fourth system is based on our proprietary S12 Sell for stocks.
           You will see that in many of of the charts here and charts that show weakness that
            is exploitable by the short seller using TigerSoft.  The Tiger S12 is not the same as the
            Peerless S12.  It is based on the stock's behavior, not the Dow Jones, as is the case
            with the Peerless S12.   In May, the Accumulation Index falls back below its moving
            average after previously dipping beloiw -.25.  This constitutes a great place to
            go short a stock that is clearly underperforming the market.  It means the effort to
            support the stock is ending.  So, it becomes vulnerable.  It did hold up for a few weeks.
            That was because the overall market was strong until our July 17th major Peerless Sell.

             wpe12.jpg (48985 bytes)

                               The chart of TOA shows the same principles.  To that we add the idea of looking at our
                Tiger charts to see if the daily price bars turn red.  If that happens on a new low, as it did in March
                you have another sign to sell short immediately.  Here it was augmented with a Tiger Sell.
                all these charts the preponderance of color from the Accumulation Index is red.  That is the most reliable
                sign of all that the stock is under big money distribution and it will probably trend lower.

             wpe13.jpg (53197 bytes)

                   Look for more materials here, late this weekend.





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