Update: Nov 6, 2013 – Closing Position

We are exiting our AutoNation short position for the following reasons:

1.  The historical trading patterns are becoming less clear since the position was entered on 9/24.

1. The stock has dropped -$3.50 since the short, resulting in a net profit of 10.25% which we are choosing to book.

3.  The stock is entering into some significant long term support levels, reducing the statistical chances of further gains.

 

— Sep 24, 2013

Symbol: AN (NYSE)

Signal:  SHORT

New SHORT signal on AN, which could be corrective as part of a larger up trend.  Profitable trading pattern goes back to 3/09/13.

Related analysis supporting position:

N/A – stock has been bullish all year and is at lofty levels.  Weak retail numbers have not bled into auto sales yet but this could change.