Sims Metal Management Limited (ASX:SGM) is a business that chose not to pay a half year dividend due to a weak outlook. SGM has lost support at $9.70 and is starting to look like heavy metal !!!
Disclosure: The Edge Fund has short sold SGM earlier today at $9.70 (Current price $9.61)
3 March 3:30pm
Covers 1/3rd at $9.52 (+18 cents or +1.9%). Hold remainder for Target 1. Makes average price now $9.79.
4 March 11:20pm
Re-shorts the 1/3rd covered yesterday ($9.52) at $9.65. So, average now on 150% of normal position now $9.74. So now +9 cents on 150% of normal position. Looking to cover this 1/3rd at lower prices and hold remainder again.
4 March 12:20pm
Covered that 1/3rd again at $9.62. Barely worth mentioning. Average short price now $9.80.
4 March 3:40pm
Covered another 1/3rd at $9.64. Looking like a small green doji which puts the odds of upside at 50/50 now. Average short price on remainder now $9.96. Will see what tomorrow brings.
5 March 10:10pm
Covered remainder at $9.75. (+21 cent on remainder or +2.1%)
11 March 9:30am
Re-shorts at $9.63.
12 March 10:35am
Covered half at $9.44 (+19 cents or +2%). Average now $9.82 on remainder.
12 March 2:40pm
Covered remaining half at $9.52 (+30 cents or +3%) on remaining half that was averaging $9.82.
14 March 3:40pm
Re-shorts at $9.52.
17 March 10:15 to 10:25am
Covered all between $9.20 and $9.27 with average $9.23 (+29 cents or +3.1%)
This article is published by Dean Mico.
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