It must be a brutal day today for those who have been aggressively shorting the market. Since the market had been quite pessimistic for two weeks, the investor's sentiment has turned to extremely bearish, which apparently had ignited many traders to short the market....aggressively by many. Then, the market suddenly turns around and all the shorts are squeezed bloodily with today's relentless up moves.
As the famous Wall Street old saying goes: the Market God wants to punish most people the most!
So if you start to feel bullish now and wants to chase the market, be aware of the above warning. For sure it looks like the market may still have some room to go up, it has already used up a lot of energy and it is quickly coming to its up resistance that will stall its momentum. After all, this is still a dead cat bounce. Its next leg down will be more powerful to the downside!👽
Is WYNN a short sqeeze ? Can you really tell ?
ReplyDelete