This post was just published on ZYX Short Change Alert.
After the incidents in Ferguson, Missouri there will be increased demand for video cameras for law enforcement. The two companies that will benefit are DGLY and TASR. However typically such stocks run up too far on an incident, it takes a long time for new sales to materialize, as the video of the incident disappears from the TV such stocks pull back. The foregoing fate awaits DGLY and TASR. These two stocks have run up too far too fast.
These two trades are only for experienced investors because there may be a massive short squeeze. Due to high volatility, these stocks should be accumulated in small tranches over a wide zone.
Consider accumulating up to 40% of TASR in the zone of $15.50 to $19.73. Target zone is $11 to $12.50. The stock is at $15.50 as of this writing. Mental stops are over $21.56.
Consider accumulating up to 30% of DGLY in the zone of $8. to $12.73. Target zone is $3 to $4. The stock is at $8.66 as of this writing. Mental stop over $14.50.