This post was just published on ZYX Short Change Alert.

GNRC is a manufacturer of generators.  It is way overvalued.  If there are no major storms on the East Coast, especially the New York area for a couple of quarters, this stock is likely to dip into the $30’s.

Over the last few days the stock has pulled back, but any move up in the zone of $52.90 to $56.90 may be used to add to the position or consider initiating a position.   At this time 30% of the full core position size is being held.  Consider limiting the position size to 50% of the full core position size at this time.  The reason is that here is no good way to predict storms.  It is not advisable to be holding 100% in the event another big storm hits the East Coast.  However, in the event another big storm hits the East Coast, the plan will be to build 100% of the full core position size if the stock goes higher and nothing fundamentally changes.  Of course there will be a post on the Real Time Feed at that time.

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