Who say it is a V shape recovery ?

ที่อัปเดต:
Raise your hands if you think so, just for fun.

Jeff Gundlach says to short

Last night, the market defy the negative news of the contracting GDP figures, one of the worst in history and continue its bull run. Many of the tech companies have a great run like FB, Amazon, Alphabet, Apple,etc.

If the resistance at 2978 is broken out, then we can expect it to go higher towards 3143 level.

Don't you feel like riding a roller coaster ? It is going up and up and then it slows down..... As you can't see ahead of you, you have no idea what to expect. Is it going to dive down and let you scream the lungs out of you OR a small plunge before bringing you higher ?

Those who have a weak heart, honestly should stay and watch.

บันทึก
A follower who had quite a few short positions asked for my opinion as he felt uneasy seeing his losses widened as the price kept creeping up.

After a while, he confessed, he did widen his SL a few times to avoid being stopped out. I knew how he felt coz that was what I did in the past. I was desperate to win and worst, unprepared and afraid to lose. Other than giving oneself unnecessary stress over this position, it also clouds your judgement.

As I had shown in several charts before, the market is fond of playing tricks to get your money. They will have a few false breakouts to trap the early sellers, a smoke screen that leads them into piling on their positions.

Wow, I have shorted at high but they failed to see it could get even higher. Such is the psychology of humans. When you buy a stock, say FB and the price dips, you are more willing to average down your price and even feel good about it. But when comes to shorting, I think there are not many who will average up.

In theory, sell high , buy low concept seems easy to operate but in reality, there is always a difference when we mixed emotions into it. Others are adamant to stick to their positions , averaging up not because they have a strategy but because they wanted to prove themselves right and the market wrong.

Luck may comes in from time to time but that is extremely dangerous. I said before, the Market is like Mount Everest, it will always be there. If this year, you trek to the base camp and cannot acclimatised, then you have no choice but to come down despite your years of training and effort.

Trading in the market is the same. If you in it for the long haul, then losses every now and then should not be interpreted as failure or label yourself a weak trader. Come down , reorganise yourself and learn from it.

When you are ready, go challenge the market again.
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