What's Your trading plan if markets keep selling?

[ironchef]

Keeps selling off??

As much as I want to say this market will sell off, but keep selling off? Hard to say. We literally saw the fed throw trillions at the market and the Government hand out more trillions to people unemployed and stimulus checks. They are looking to spend another $3 trillion to help the economy in the next few weeks. They will stop at absolutely nothing...i can almost guarantee that the next great collapse, which will most likely be do to a delayed opening of the economy that the fed will literally buy stocks directly and knock rates down negative. I can almost predict some crazy things they will do that we would never imagine. They probably have a long list of ideas to stop any collapse from further happening that at a seconds notice they can turn this market up on just a few crazy ideas you never thought possible ....

It is encouraging to those of us holding the bag that bears like you said it would not crash?

 

[luckyfnlou]

I don't expect much until we get past Friday so my short positions are very small right now. I took off my last long today and stalking my short entries cautiously. I'll likely put them on Friday afternoon or early next week.

 

[yogi_trader]

Pop an extra adderall and hope to hold on to my puts for more than 45 min lol

 

[systematictrader]

Just curious, how are you going to trade if selling accelerates this week?

I'm going to focus on day and swing trading TVIX SRTY FAZ SPXS etc.

It'll be interesting to see if we get back to March lows by summer. Fwiw I went mostly cash into eod today to book profits in most inverses, strong 2day moves, may get adverse gap tomorrow -- cash is king.

Ww with shorting? Its faster than longing any ways

why cash if market is dropping versus invested if market is up

should
Be no bias

 

[systematictrader]

I opened a LT position in $CCL today. I hedged by shorting $RCL. we might go down a bit more or a lot more. I plan on flipping any $RCL short profits into buying more $CCL and think $CCL won't wipe me out in BK proceedings and will be fully-booked in 2 years. I suppose I could have just sold puts, but I don't have any time frame for how long this economic mess lasts or what the stock market will be like in 2 months.

Will u really stick to it?

 

[systematictrader]

This bounce is similar to March 2000.

• After an initial sell-off the market bounced back, almost to the top.
• But a 2nd wave of selling caused the market to crash below the previous low.
• In this case the low was about 6900 for the Nasdaq.
• Will the Nasdaq drop 2,000 points soon?

The March 2000 market punished those that didn't bail when they had the chance.

i think this is plausible
Iam
Short cat x jo abt wfc ewc ewz

 

[m1nt]

Smart idea re hedging like that, I never thought of that play (or could do UAL vs DAL etc). I'm trying to figure out similar play with ETFs like SQQQ/TQQQ ..key is scaling into winner correctly... good idea

I will be looking into a similar casino stocks play tonight. The idea is that you take advantage of any extreme rips in the market, either way, and can play different time frames without having to worry about theta decay or option quote spreads/hours/liquidity. You are buying time and not losing it and, if they go down further, your LT pick is further de-risked. This could be someone else's pairs trade idea, but I wouldn't know.

 

[Handle123]

Just curious, how are you going to trade if selling accelerates this week?

I'm going to focus on day and swing trading TVIX SRTY FAZ SPXS etc.

It'll be interesting to see if we get back to March lows by summer. Fwiw I went mostly cash into eod today to book profits in most inverses, strong 2day moves, may get adverse gap tomorrow -- cash is king.

System been short near highs of February, many shorts/hedged for past 3-4 years, hedged long term dividend stocks with futures which were also hedged in case of market going higher. System has produced nothing but add on's/hedged to downtrend, couple still current including H&S short. System can only start looking to reverse under 1800.

Swing, don't do in futures as they become add-on's, and scalping-seldom in a trade longer than 3 minutes. System does 3-5 week spreads/hedged.

Been a very fun year waiting for the "last" signal for ass-kicking home runs. Pays to hedge so long as one is financed to do so, not cheap, but system is very often too early.

System doing more and more of buying weekly options, very fun. Eventually will stop scalping and do stock options, no/low commissions, can't beat it.

 

[themickey]

Keeps selling off??

As much as I want to say this market will sell off, but keep selling off? Hard to say. We literally saw the fed throw trillions at the market and the Government hand out more trillions to people unemployed and stimulus checks. They are looking to spend another $3 trillion to help the economy in the next few weeks. They will stop at absolutely nothing...i can almost guarantee that the next great collapse, which will most likely be do to a delayed opening of the economy that the fed will literally buy stocks directly and knock rates down negative. I can almost predict some crazy things they will do that we would never imagine. They probably have a long list of ideas to stop any collapse from further happening that at a seconds notice they can turn this market up on just a few crazy ideas you never thought possible ....

...along with well timed tweets jawboning the market higher with aluring promises and 'maybes'.
Trump has the gift of the gab and so he'll use it when all else fails.

 

[Brightbreaker]

At the moment, it is very difficult to predict and plan a trading plan.