now ebay could fall further...

Bought the stock at 90.11 to deliver against the short calls which i had sold for .70 credit. Didn't want to come in short on monday.
 
Quote from Jake777:

Hi, im new to ET.

I have read and enjoyed this website for a while, and I wanted to say something about ebay.

Please know that this is just my opinion, and I am by no means a huge time trader or anything of the sort. I do not mean to offend anyone; that is not my aim.

What I want to say about Ebay is the following:

1. It is at a 3 year high.
2. It is showing an uptrend.
3. It broke out of the $70 dollar range on volume.
4. There has been no reversal pattern (no distribution, in terms of volume and/or technical pattern).
5. The stock is in an uptrend, in a bear market.

Since it's in an uptrend, wouldn't it be more profitable to buy on the corrections, rather than short this stock, even if shorting is profitable?

for example, I knew traders who bottom picked a stock, and yes, they made a point or two by doing that. But there would be others who go with the trend and take 5 to 10 points out of the stock. And those bottom picking people got killed when things went wrong (believe me, because I have done this myself).

Yes, I would buy this stock, but my funds are tied up in REDF.

I would like to ask the people shorting this stock, why?

Thanks

Jake
More...

You are absolutely correct in everything you say. There is no TECHNICAL reason to be shorting this stock.
 
So earnings are coming after the close. Good earnings shouldn't be a big surprise, because big swinging dicks didn't dump ebay before earnings, which would be normal due to uncertainty about numbers to come. Next thing will be a stock split, almost obvious. Tricks like in the old days, but outcome will be the same.
 
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