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LIMITED BRANDS (LTD) BOUNCE IS AN OPPORTUNITY TO SELL

May 19, 2011

Limited Brands (LTD) reported earnings after the close. The earnings were below the whisper number. The projections of Limited Brands was less than the published consensus and quite a bit below the whisper numbers. The growth of Limited Brands is clearly slowing. Bounce in the stock is an opportunity to sell or short sell. We are now short from an average price of $43.09. ZYX Short Sell Change Alert — Real Time Feed has been providing actionable signals on this stock. For details of our trades please see ZYX Short Sell Change Alert.

REASON FOR LONGTOP FINANCIAL (LFT) HALT

May 18, 2011

Longtop financial (LFT) was scheduled to report earnings on May 23rd as we have previously pointed out. Longtop Financial has announced that it will not be reporting earnings on May 23rd and has not yet provided another date. It is difficult to interpret this information. Is there a serious problem? Is this simply a case of accountants getting delayed for some innocuous reason? We will keep you informed about Longtop Financial as we learn more.

APPLE (AAPL) RUMORED TO BE LOOKING AT OMNIVISION (OVTI)

May 18, 2011

Apple (AAPL) rumored to be looking at Omnivision’s (OVTI) five megapixel new chip for iPad 3. This morning we made an entry in ZYX Buy Change Alert — Real Time Feed: We are long from $12.50. Now the stock is at $33.61. Our target remains $45. This has been a very volatile stock, the volatility has not shaken us to sell our position prematurely primarily because of technological developments at the company. Our rational for holding OVTI has become public news today. OVTI introduced the OV5690, the first 5-megapixel image sensor to use OVTI’s proprietary OmniBSI-2

DELL (DELL) TABLET TO USE NVIDIA (NVDA)

May 18, 2011

Dell (DELL) will be introducing a new 10″ tablet. The tablet will be powered by Nvidia (NVDA) Tegra chip. Nvidia has moved up on the news. Any bigger up move in Nvidia may be sold short. ZYX Short Sell Change Alert will provide the signal in real-time when the time to short is ripe. Dell may be bought on weakness. ZYX Buy Change Alert will provide the signal in real-time when the time to buy is ripe.

TAKING PROFITS ON REACHLOCAL (RLOC)

May 18, 2011

ReachLocal (RLOC) has now hit our target. We are now taking partial profits right here at $21.90 on ReachLocal and putting a stop on the rest of the quantity at $22.16. ZYX Short Sell Change Alert has been providing real-time updates on this ReachLocal.

TAKING PROFITS ON IROBOT CORPORATION (IRBT)

May 18, 2011

We are short on iRobot Corporation (IRBT) from $38.12 and $37.98. Now the stock is at $30.51. We are taking partial profits in the range of $30.20 to $30.65. ZYX Short Sell Change Alert has been providing real-time updates and will provide a signal when it is time to get out of the rest of the position.

TIME TO BUY PENSON WORLDWIDE (PNSN)

May 16, 2011

We are initiating a small new long position on Penson Worldwide (PNSN) right here at $3.15. We will buy more if the stock goes lower. This is medium term position. Our target is $5.00 to $6.00. Since it is such a low priced stock, at least temporarily, we will not use a stop. This buy is triggered by clarification of non-accrual receivable items in the company’s 10-Q disclosure. Penson Worldwide (PNSN) CEO bought 25,000 shares at prices ranging from $3.33 to $3.39 on May 13th. As a full disclosure, ZYX Buy Change Alert

RAMBUS (RMBS) EXPLODES ON COURT RULING

May 13, 2011

Rambus (RMBS) develops intellectual property related to memory and licenses it to memory makers such as Micron (MU). Rambus has sued several companies for patent violations. Rambus has several billion dollars riding on the outcome of these law suits. Spoliation is a legal term that means, destruction of documents. By law, companies such as Rambus are not allowed to destroy documents after a law suit begins. District Court had ruled that Rambus had destroyed documents in its suit against Micron. Based on the document destruction had won dismissal of the Rambus case. Today’s ruling