I put on some short positions -- and lost on all of them again...
Market gapped lower and then went shooting higher -- trapping all the shorts -- who obvioulsy are being squeezed to death again.
I'm not sure what else I could have done -- I oversized the shorts and also did a few long trades which mostly worked out.
I think I recognized the squeeze early but it was a slow squeeze. The daily charts looked broken. Maybe it'll die end of day here. But IYR ripping to new highs.... all on low volume. Every sector is green but utilities.
SPY now at top of descending channel.
INDEED: today's lesson -- watch $TICK -- there's no readings below -300 -- buyers are still in charge and that's the first sign there's no selloff coming.
I hold TZA and SPPI now -- having traded all day for small loss. I'm probably overtrading. I don't see an edge anymore, long or short.
So that's why you leave stops... market can keep going anyway.
I don't understand what's going on but I guess I don't have to... Charts broke back up. End of story.
Shorts are probably trapping themselves on low volume. A break to new highs will force massive covering.