For The First Time Ever, IB Clients Are Net Short The Market

Discussion in 'Wall St. News' started by Banjo, Dec 30, 2020.

  1. Banjo

    Banjo

  2. Snuskpelle

    Snuskpelle

    2021 will be an immensely interesting year. Is this time different with central banks reluctant to raise rates for years ahead?

    Myself looking for a small correction (like max 15-20%) this year and then further up, but given the current froth I wouldn't be entirely surprised if something unexpected breaks, and we get the 2000 style year everyone has been waiting for, but no longer dares to predict.
     
    dennis86, Quark, comagnum and 2 others like this.
  3. KCalhoun

    KCalhoun

    It'll be interesting to see which sectors lead the way up or down.... they're very divergent eg ev solar metals tech and markets dow vs russell sp nas etc .

    Would be great to see big overlay chart so we can see at a glance the trendlines
     
    comagnum likes this.
  4. comagnum

    comagnum

    Strong bull market with Jan historically the strongest month for the NDX-100. What could possibly go wrong when so many get on one side of the boat?
     
  5. fan27

    fan27

    Given this news, I would expect a melt up of some sort followed by tasty correction.
     
    Math_Wiz likes this.
  6. maxinger

    maxinger

    Is the news written by IB staff, or some fakers?

    Does IB disclose such information to the public?
     
    murray t turtle and Relentless like this.
  7. fan27

    fan27

     
    shuraver, guru and maxinger like this.
  8. maxinger

    maxinger

    there are many index futures that broke the record high recently.
    They are
    Japan Nikkei
    Taiwan Index
    China A50
    India Nifty
    US ES NQ rty index futures
    Germany dax
    etc etc


    when such a thing happens,
    some swing traders

    - would buy more stocks
    (Not a wise idea as the entry is far too late)

    - would short the market in anticipation,
    ie entry based on prediction
    (Not a wise idea as there is no signal / confirmation)

    soon the market will collapse.
    But we don't know when.
     
  9. KCalhoun

    KCalhoun

  10. ET180

    ET180

    It sounds like he's saying his clients are long stock, but short OTM calls such that they are short more options than their long stock equivalent. But if I'm long 100 shares of XYZ at 60 and short two of the Jan 65 calls, that's not really what I consider net short. Net short to me would mean that the overall delta of all client portfolio positioning is negative. I highly doubt that is the case.
     
    #10     Dec 31, 2020