The NASDAQ undercut a prior low. This is often a place where a rally (short term or long term) begins. It is usually best to cover short positions when your stock undercuts a prior low or the market undercuts a prior low.

Name:  NASDAQ Cover Point.GIF
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I have no expectation that a long term rally will or will not begin here. CANSLIM investing is rules based investing and following rules such as this will make money in the long term.