With the tax plan being priced into the market for the umpteenth time, it'll be interesting to see how much farther the parabolic rise is going to last...just waiting for Gartman to announce he's "going long 1 unit," any day now.
For the old pros who shorted Nasdaq in 2000, any stories to share? How did u maximize your gains? What would u have done differently, in retrospect?
Looking thru the charts this weekend, Nasdaq had a 80% drawdown starting in March 2000 to October 2002, almost mirroring the parabolic rise on the downside. Guess the cash burn rate of no-profit companies on flimsy business models eventually comes to the forefront in a rising rate environment, like last time.
I shorted corresponding to 40% of my capital at the time. If Bitcoin crosses into the 20 thousands and IB have opened up for short positions, I will place a short with maximum 5% of my capital (which incidentally is much more than the 40% short Nasdaq in 2000).
Never go all in on a short position. Never go all in on any position. That's my advice.