Five things that seem difficult, but really aren't: Sand shots, souffles, baccarat, programming your VCR and shorting.

Shorting? Yes, shorting! Going short is EASY. Well, okay, at least easier than you thought.

Why do I know it's easy? Because ol' Gar can do it. You know, not-that-bright, not-that swift Gar. Why I'm the same guy who gets lost driving home sometimes!

So, you can do this shorting thing; you will do this shorting thing; you must do this shorting thing! Now let's get out there and FIGHT. Beeeeeat State!

Oh, sorry, just trying to get you pumped up. Okay, here are the five things you need to know to get started:

(1) Look for a chart with either clear support or a clear up-sloping trendline.

(2) Look for a high volume breakdown from that support or trendline.

(3) Go short at the very next open.

(4) Set your stop up front.

(5) Don't be greedy taking profits.

And that's it. Class dismissed. See you at finals!

Oh, you want some examples? Okay, here are some recent shorts from the top-secret GBS archives: 4 winners and 2 losers.

Notice the similarity in each chart? Notice the same exact five-step process each time? Sure, not everyone was a winner, but by executing the identical plan each time, you'll get your fair share.

But, before you go out and start shorting

iVillage

(IVIL)

or something nutty, let me give you some addenda to the five steps:

(1) The length of the trendline or support line matters. Like my longs, a minimum of 20 to 25 days is needed to establish a firm line, either support or trend. Any less than that, and you risk blowups like

Texas Instruments

(TXN) - Get Report

.

(2) I'm not concerned, ironically, with the percentage breakdown. I've found no difference with a stock that drops 5% or 50%. In fact, generally the more the better, and I will only look at stocks that have dropped at least 1 point.

(3) I never try to time my entry. Shorting at the open usually works. Yes, sometimes you get big gaps down. But, if you get in, those stocks often drop further. If not, well, that's trading.

(4) My stop is always 6% above my fill. That works for me, but obviously, you should adjust for your own style.

(5) My limit target is always 5% below my fill. Always. I am never greedy with taking my profits, and as we've seen the last few days, stocks that look dead can turn in a hurry. Therefore, if anything, err on the side of getting out quickly.

See? Shorting looks hard, but if you follow my five steps (and five addenda) it really isn't. So, give it a try -- on paper first -- and get a feel for this critical trading tool. As I've often stated, it has been my ability and willingness to go short that has really kept me in the game the past 12 months.

Next week: mastering the souffle!

Gary B. Smith is a freelance writer who trades for his own account from his Maryland home using technical analysis. At time of publication he had no positions in the stocks mentioned, although holdings can change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. This column, Technician's Take, appears every Monday. Smith also writes Charted Territory, which appears every Wednesday, and TSC Technical Forum, which runs Saturdays and Sundays.