NEW BEARISH Plays

Ford Motor Co. - F - close: 12.60 change: -0.39

Stop Loss: 13.05
Target(s): 11.50
Current Gain/Loss: unopened

Entry on February 21 at $--.--
Listed on February 20, 2013
Time Frame: 6 to 8 weeks
Average Daily Volume = 43.7 million
New Positions: Yes, see below

Company Description

Why We Like It:
Shares of Ford did produce an impressive rally from its August lows near $8.80 to its January 2013 highs near $14.30 (+62.5%). Since those January highs Ford has started to correct. The last two weeks have seen the stock consolidate sideways. Unfortunately today's widespread market decline has pushed Ford out of its consolidation phase and into what could be the next leg lower.

I am suggesting small bearish positions now at the open tomorrow. We'll use a stop loss at $13.05. Our initial target is $11.50 but we'll make adjustments along the way.

Suggested Position: short F stock @ (the open)

Annotated chart: