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Let Them Eat Cake – Cheesecake Factory Cake

Published 09/11/2020, 03:42 PM
Updated 07/09/2023, 06:31 AM

One of my favorite short positions right now is The Cheesecake Factory (NASDAQ:CAKE). For those of you not acquainted with this superb dining establishment, here’s a sampling of their wares along with calorie counts:

Menu items.

Oh, you’re still not full? How about a slice of their fabled cheesecake?

More menu items.

OK, that’s enough. Let’s look at why I’m short. Check out this analog:

Cheesecake Factory Chart.

Here’s a closer look.

Cheesecake Factory Chart.

My entry point was 31.83 and my stop is 30. I intend to hang on to this as long as possible – months, or even years, if possible.

Latest comments

I think this guy means long. Whatever
Is Penny still there ??
Bro...The days are getting shorter but you are definitely long the name
Sorry Tim, if your entry is 31.something and your SL is 30, I think you are "long" here not "short", right? If my understanding is right, I had a look at the company, technically it looks that might double the same pattern, but a part from that, I would never get in that company. It's not healthy financially, in this environment, even if it is quite large, it's still very risky indeed. IMHO.
I hope for the guy its just a typo
Tim is correct. His "entry", where he shorted the stock, is 31.83. His stop is 30. A perfect short trade.
So now we're using the word "stop" to mean "target"?
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