Bear Capitulation
BY SVEN HENRICH ON AUGUST 26, 2020 ( 9 COMMENTS )
Relentless squeeze in $SPX and $NDX to ever higher highs and bears are capitulating left, right and center. Short interest at 15 year lows, asset manager index parked north of 100, the complete elimination of down days in August, in short: The perfect bear set up.
Imbalances keep building and money relentlessly pushes into high cap tech in anticipation of Jay Powell delivering more dovish goodies tomorrow with expectation he will make an announcement suggesting the Fed wont raise rates for another 5 years and the Fed would be willing to let inflation run hot. In other words: The Fed is implicitly endorsing an asset bubble.
I had an opportunity today to speak with a German audience via Markus Koch a well known German financial journalist based in New York and we discussed a wide variety of issues including bear capitulation and a general sense of resignation that central banks are in complete control and will never allow corrections again.
NOT NORMAL - throw out TA, FA, SPX 3550 or 3000
Started by
dTraderB
, Aug 22 2020 08:55 AM
99 replies to this topic
#62
dTraderB
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Posted 26 August 2020 - 06:32 PM
Nq hedge long 11960
#63
dTraderB
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Posted 26 August 2020 - 06:35 PM
45 qqq puts
4 Spy puts
5 apple puts.
1 nq hedge long
Definitely heading for a losing week for me even with about 6K on hedge long nq profits and just over 14K in Nq daytrading.
4 Spy puts
5 apple puts.
1 nq hedge long
Definitely heading for a losing week for me even with about 6K on hedge long nq profits and just over 14K in Nq daytrading.
#64
12SPX
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Posted 27 August 2020 - 08:34 AM
Okay well I couldn't help to add just because this is so out of hand, short average 3471 added to my sold September 3500 calls now at $35 and the 3600 calls for $8.00. After tomorrow the calls will be done added to for the cycle and we'll see what happens as we move into September. Believe it or not I know the market will eventually have some volatility....
#65
K Wave
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Posted 27 August 2020 - 09:18 AM
Got the 12K on NDX.....now just need TSLA and AAPL to start to crack over next few days, and we may have a big swing top near here....
The strength of Government lies in the people's ignorance, and the Government knows this, and will therefore always oppose true enlightenment. - Leo Tolstoy
#66
K Wave
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Posted 27 August 2020 - 09:21 AM
SOX 2215 area held first time down.
If/when that pivot gets broken, will likely be first sign of possible real trouble...
The strength of Government lies in the people's ignorance, and the Government knows this, and will therefore always oppose true enlightenment. - Leo Tolstoy
#67
K Wave
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Posted 27 August 2020 - 09:33 AM
After massively diverging as NDX rose, VXN now starting to look ready for possible swing move of increased volatility again...
The strength of Government lies in the people's ignorance, and the Government knows this, and will therefore always oppose true enlightenment. - Leo Tolstoy
#68
K Wave
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Posted 27 August 2020 - 09:34 AM
Here comes back test of 2237 area on SOX.
Let's see if bears can hold it it...
The strength of Government lies in the people's ignorance, and the Government knows this, and will therefore always oppose true enlightenment. - Leo Tolstoy
#69
dTraderB
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Posted 27 August 2020 - 10:46 AM
Closed + 69.5 points
Will reopen later
Will reopen later
Nq hedge long 11960
#70
K Wave
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Posted 27 August 2020 - 11:11 AM
TSLA may entering terminal blow move.....
The strength of Government lies in the people's ignorance, and the Government knows this, and will therefore always oppose true enlightenment. - Leo Tolstoy
