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.

Click image to enlarge

Click image to enlarge