Final answer:
The question asks about using pre-market high as resistance in shorting a stock. Deciding to short a stock is complex and cannot rely solely on pre-market data. Professionals often fail to consistently outperform the market, highlighting the risks of such strategies.
Step-by-step explanation:
The student is asking about a trading strategy related to stocks that have lost value in the pre-market session. Shorting a stock means betting that its price will go down. Using pre-market movements as an indicator, one would expect the pre-market high to act as a potential resistance level during the regular trading session. However, whether a stock could or should be shorted depends on a multitude of factors besides its pre-market price action, including market conditions, the stock's fundamentals, and broader economic indicators. It's also important to note that trying to outguess the market is difficult, and even professional investors often do not succeed in consistently picking winning stocks.