October 6, 2009

Consider start scaling in a short position in MDT right here at $36.20. MDT had passed all of our screens for a short sale, but we had been waiting for a trigger that the market pays attention to before entering the trade. Patience in entering short sales is especially important when the overall tape is ripping.

Today STJ forecast significantly lower revenues and confirmed our earlier checks that hospitals have been reducing inventory of the medical devices they carry. Now we have the trigger and will add to our short position on spikes up.
Various health reform bills have provisions of additional taxes on medical devices.… Please click here or the title below to read more.