Fans asked me: "I want to short, can I get in now?"
I said, don't rush to board this train, this weekend's ride isn't a regular train, it's a roller coaster!
Why? Because you need to know —
The weekend market is either as quiet as a chicken or it explodes on the spot. Traders are off walking their dogs on the weekend, only the major players are still thinking about how to 'collect heads'!
From a technical perspective, although the market seems to be stopping the decline a bit, if you really want to short, it's not about rushing in now, but rather waiting for it to come to you.
How to judge?
It's simple, let's take out the Fibonacci ruler and measure as shown in the figure:
The 0.5 position of the golden ratio is the 'rest area during the market correction';
The 0.618 position is the 'ambush area for short sellers'.
These two points are likely where the major players will 'give you candy and then slap you in the face'. You might as well consider it: the market goes up to test people's hearts, and then decides how to harvest next.
Want to short? You can, but wait until it obediently climbs back to the golden level before throwing your shoes. Getting in now may not be shorting, but rather sending warmth.
Stay calm, don’t rush, you can’t gain weight in one breath, and you can’t become a deity with one short.
Don't be caught off guard when the market suddenly explodes, and then cry out: "Turns out I was shorting fake!"