RDN Radian Group (RDN)

This analysis for RDN is done for a fellow blogger who shorted at 6.23. 

I think shorting this is still a bit too premature, as you'd be guessing right now, since the 20/50 didn't technically cross yet.  Also, the timing could have been a little bit better.  Remember the rule on the side bar:

Sell into strength in downtrends, buy into weakness in uptrends.

You instead shorted into weakness in a downtrend, which isn't so bad, but you're putting yourself at a disadvantage with little breathing room.  There's a couple things you could do and they're both up to you.

1.  Cover asap and take your loss.
2.  Wait for the 20/50 cross, and add to your short position once the price hits the 50 EMA.  If the price breaks through the 50 EMA, cover everything.  If the 50 holds, then you're good to go.