Incredibly easy day on short side yesterday. After a brief bounce attempt in the morning on Indexes (which I played with TNA and TQQQ and banked good money) , it was all downhill., offering tons of opportunities on short side.
Lots of stocks which were holding up well finally succumbed to selling . In fact my long anticipation list made better shorts than longs.
Today will be 3rd day of breakdown, it normally does not pay to short on 3rd day of breakdown. Let shorts get punished. In shorting you have to be ahead of the curve.
When market becomes extremely stretched to downside quick counter trend bounces of 3 to 5 days happen. We are approaching that kind of phase. More selling will be required probably before another bounce attempt.
Extreme selling results in short term bounces. During such period "Bottom Bounce" (BB) setups work well. Especially on large Index component stocks. In the last bounce couple of weeks ago I made over 25k in AMZN, BA, and TNA bounce plays.
BA (Boeing) is example of kind of setups that work in these bounces.
You will see many such setup during that 5 days bounce period in Indexes.
Some of the BB setups to track are highlighted in last nights Newsletter for Members. They work only if the indexes bounce big intraday. This is highly profitable setup during these sharp counter trend moves. BB is special situation setup that works best in extremely stretched market.
You will see many such setup during that 5 days bounce period in Indexes.
Some of the BB setups to track are highlighted in last nights Newsletter for Members. They work only if the indexes bounce big intraday. This is highly profitable setup during these sharp counter trend moves. BB is special situation setup that works best in extremely stretched market.
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