This looks like the sell-off on 6/11, next day a little reversal and Monday a bounce. If we have a double top than I start gearing up more. I will cover my puts tomorrow, or Monday.
Inverse Winners: SQQQ UVXY TZA
- Thread starter KCalhoun
- Start date
Did you mean to say Dow down 1000?
If you look at the daily chart we were going straight up. In order to reverse that trend, typically we'd need to have a head and shoulder or double top formation.
Lessons learned from my ill-fated inverse bottomfish attempts post-March, plus February success:
Right re may be brief 2-3 day pullback, so I'm not scaling size til tue earliest
Mondays have usually gapped up recently, BUT if Friday tomorrow s&p closes at 2day low I will hold inverses over weekend.
Best daytrading inverse = UVXY
Favorite swings = SQQQ TZA
Others I trade = SDOW LABD SPXS SOXS SRTY
- They're best for daytrading vs swings
- Swing strategy = slowly scale in and make sure current positions are at least 1 ATR in the money before adding every other day not daily
- Compare relative strength, UVXY SQQQ very strong today
Right re may be brief 2-3 day pullback, so I'm not scaling size til tue earliest
Mondays have usually gapped up recently, BUT if Friday tomorrow s&p closes at 2day low I will hold inverses over weekend.
Best daytrading inverse = UVXY
Favorite swings = SQQQ TZA
Others I trade = SDOW LABD SPXS SOXS SRTY
%%
TECS did well also;
QLD late.......................................................................................................
I honestly think Monday will be flat, considering how the markets are closed on Monday.
Lol tru, gotta remember holidays.... hmm well it'll be a volatile Tuesday likely
Keep an eye on the Sunday night futures, early halt at 1PM ET. Might give a sign?
Yes now that I think on it, you may be right. Monday will be flat. Good day to finally spend some time configuring TWS on what is supposed to be my trading computer.
I think maybe I was right about support for TSLA at $400, though. It is just too tempting at that "cheap" price and just a couple days ago we were all looking for $600. If it touches down again and starts back up, I might bite, I don't know. If I see a nice steady trend up outta there for a couple hours, probably.
I think the key is to get into the inverses before the selling occurs or right when it starts. Once the selling accelerates, it can often be too late to get in because of the risk of whipsaws and bounces.