The Under Secretary of Education, Robert Shireman is leaving his post at the Education Department. Shireman was in charge of the effort to end privatization of student loans. Education stocks have rallied massively on this news. We do not argue that this development is not positive for the education stocks in the very short term as the reform momentum will slow. However, the administration has not changed and the policy of the administration has not changed. Up move in these stocks is overdone.
As per the prior post, we scaled in short sells on $COCO from $16.14 and $APOL from $58.35. We will add more on spikes up. Also we will use retracements to Fibonacci levels to start scaling out to protect profits.