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Gas prices gonna soar and economies will sink. Name your best short candidtates

Participants:

Posts: 8

JEFFMARKETCAP

Legend

Joined: Nov, 2002

Posts: 56322

Posted: Feb. 22, 2011 - 5:46 PM ET #1

I think this is the beginning of a huge downturn. Gas is going over 5 bucks and maybe way over that. Everything is gonna go up in price. Only way to make money is by betting against the market. So, that said what are your top short candidates?

wallstreetcappers

Covers Linesmen

Joined: Feb, 2003

Posts: 58464

Posted: Feb. 22, 2011 - 5:57 PM ET #2

Jeff,

Look at what got hit hard today, the high beta players and the commodity stocks/plays.

This wasnt real selling either, they rescued it off the lows, makes me think it wont last.

Look at VXX and VXZ or FAZ or SQQQ or any beta short plays.

JEFFMARKETCAP

Legend

Joined: Nov, 2002

Posts: 56322

Posted: Feb. 22, 2011 - 6:00 PM ET #3

I don't see how we are gonna get outa this mess.

I agree the market was well off it's lows but I still think this is a mess we cannot avoid.

Rush51

Covers Rehab

Joined: Jan, 2005

Posts: 8856

Posted: Feb. 23, 2011 - 6:54 PM ET #4

Quote Originally Posted by JEFFMARKETCAP:

I think this is the beginning of a huge downturn. Gas is going over 5 bucks and maybe way over that. Everything is gonna go up in price. Only way to make money is by betting against the market. So, that said what are your top short candidates?

Why not instead think of going long on stocks that will participate in the run-up in gas prices... Oil companies, Alternative Energy Sources like Natural Gas, Green Technologies, etc.

Rush51

Covers Rehab

Joined: Jan, 2005

Posts: 8856

Posted: Feb. 23, 2011 - 6:57 PM ET #5

If you want to short something, look no further than any Airline Stock. Fuel makes up a high % of their cost.... at least compared with other industries.