Bear Rally/Short Squeeze

Discussion in 'Trading' started by 4444CJones4444, Feb 6, 2009.

  1. It's called controlled selling. The futures were propped up, so the funds could unload because next week is going to be ugly.
     
    #11     Feb 7, 2009
  2. this
     
    #12     Feb 7, 2009
  3. That's exactly right, Sir. At least I feel like this as well
     
    #13     Feb 7, 2009
  4. Bt the way. If you take a look at PUT/CALL ratios the amount of optimism out there is just estonishing... this shouldn't end up nicely.
     
    #14     Feb 7, 2009
  5. WHAT???
     
    #15     Feb 7, 2009
  6. Am I reading this right?
     
    #16     Feb 7, 2009
  7. Also, on friday we have closed near the day's highs BUT VIX has also closed at the day's highs...
    If anyone would care to explain this to me I would be sooooooooo grateful...

    Thanks
     
    #17     Feb 7, 2009
  8. Investors buying puts as cheap insurance over the weekend. If they're long stock and something major happens over the weekend, their profits are covered. If the market rallies again Monday and Tuesday, VIX will drop significantly compared to Thursday and Friday (dropped 0.46 in 2 days I think?).
     
    #18     Feb 7, 2009
  9. Thanks, this explains a lot.
     
    #19     Feb 7, 2009
  10. Keep in mind that's just one piece of the puzzle.
     
    #20     Feb 7, 2009