Idea of the Week
It is difficult to take advantage of markets during consolidation phases, which, by definition, are directionless. Longs and shorts are lower probability when the market is range-bound. We recommend investors stay bullish throughout the consolidation phase, keeping a long-term view. But, we are open to short selling* in stocks with specific negative catalysts, for which we provide an example today.
* For those unfamiliar with short selling, check out this Investopedia definition.
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