May 10, 2009

CONSIDER SHORT SELLING PAPER STOCKS

Paper stocks are overextended on the upside after recent aggressive move with other cyclicals.
We have anticipated the trigger for short sell entry will be when the ‘paper tax loophole’ closure plans gain publicity.

Paper companies have capitalized on the tax credits meant for alternative fuel ventures that mix biological products with traditional fuels. The paper companies have captured such credits by adding minuscule amounts of gasoline to the sludge they have long used as fuel.

It appears that Administration’s attempts to close this loophole are beginning to gain publicity now.

Consider inital short sell scale in on IP (International Paper) around $14.36, MWV ( MeadWestvaco ) around $15.80 and WY ( Weyerhaeuser ) around $35.66.… Please click here or the title below to read more.

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