last thing I may add before I let you keep going: Markets are not static, run a backtest and you find that your idea of shorting tech names in January (or pick ANY point in time you want) will at best come out to be even. By the way, 20 observations is about as little as you can have to make any valid point, backed by statistical evidence. So, please do get your own facts straight first before you discount what others say. Good luck in your trying to short into an uptrend. Nothing right now points to the markets wanting to turn down. Until this happens why dont you simply buy on the dips? Do you feel bad to side with Wallstreet? ;-)
I have opened a small negative bias on Apple Inc... you know, for fun because it seems to be one of these artifacts resistant to rusting.
Oh, now I get it!! I just figured it out. Where did you short AAPL? Looks like someone has been short for a while and may be losing it a bit. I must be getting old, I didn't catch on right away. That post made it pretty clear, though. That's what happens when swing against the trend and fail to honour your stops. Tell us.. how many times did you double down?
This image is not from me, but a blog I found on the net. I wanted to take the time to make my own chart demonstrating the facts, but I don't like to waste my precious time with a random bunch of idiots on the web who dont like to look at facts. So you have a significant correction each and every January since 2001. I know many of you guys, even before you traded, probably experienced this over and over again when you rebalanced your mutual accounts at the start of the year. You rebalance in January and then all of a sudden there comes this weakness out of nowhere. By March, you are banging your head against the wall wondering how your mutual fund accounts lost 6 months of gains and you were the idiot that rebalanced it in January. My one question is when are you guys going to learn. If since 2001 you have this one event happening over and over, guess whats going to happen this year? Tell me, give me one reason, why this time is different?
you must be very lucky if you don't have the need to refine your approach to trading what shorting strategy? you're playing a "year end cycle" game. using guts and calendar as entry signals. you are wrong with it this time. but good you have stops.
so you do look at charts... you should have posted an AAPL chart. so then we can all see that it did not happen every year (4 off 8 years only). for your strategy shorting QQQQ would've been safer. but even that one looks bullish right now
But not in this AAPL trade, which isn't about gut feeling at all, or so you're telling us! Have you ever heard the term 'seasonal'? This is a seasonal trade like long Feb, short August wheat (or whatever). You seem confused about what you're saying here. What the hell is that you just posted above?? EDIT: LMAO!!! You've been saying that AAPL does such and such like clockwork but you posted a QQQQ chart up to illustrate it?? Seriously man, you're making an idiot of yourself for true now. Stop this, try again with another username.
Truly, if you look in the dictionary under 'famous last words'... You take this approach, they'll carry you out, eventually.
I will venture a guess that your buy stop is likely a good zone to be shorting AAPL for a pullback in its uptrend. Counter-trend trading works best when you short from above resistance or below support.