Bookkeeping: Short DeVry (DV)

We said in January or February (can't remember when the adult education bubble was at its peak) that this was an overhyped sector. At the time we had a successful short of ITT Educational (ESI) even when the sector was in a bull run. Now as I scan the charts in the group, this sector is showing a lot of weakness - just a handful of names.



I've decided to pick one and went with DeVry (DV) as a short - it's been rejected at the 50 day moving average for the past 8 days so I like the risk / reward here. If it begins to break north of that level (currently $45) and then passes recent highs of $47 we'll reassess. I'll begin with a 3% stake around $42. Wish I had seen this chart yesterday near $45. $39 looks like a good near term target to cover.

Short DeVry in fund and personal account