Market loss is 3x faster than market gain

Discussion in 'Trading' started by Jdesey, Jun 10, 2017.

  1. zdreg

    zdreg

    "We all understand what panic selling is I don't think there such a thing as panic buying"
    your response is humorous.
    you never heard of short squeezes?
     
    #11     Jun 11, 2017
  2. Market going down might be faster, but also much less likely too actually happen.
     
    #12     Jun 11, 2017
    murray t turtle likes this.
  3. zdreg

    zdreg

    1. the shorts will not love you back.
    2."Even on a intraday basis I'm sure this is true. "
    with 8 posts you should be humble and be sure of nothing.
     
    #13     Jun 11, 2017
    HolyMoly and murray t turtle like this.
  4. With Es specifically, I can't tell you how many times I've been in a chat with dudes who are in awe of some early morning selloff, and yet the Range of the pm rally ends up bigger than the selloff by 5 points or more...
     
    #14     Jun 11, 2017
    Laissez Faire likes this.
  5. Jdesey

    Jdesey

    Well the replies have been interesting. I didn't know It was such a controversy. We can all make money long or short it really doesn't matter does it. Good trading to everyone
     
    #15     Jun 11, 2017
  6. wartrace

    wartrace

    "Market" is a pretty generic. Maybe you should have posted "EQUITY MARKETS"? I haven't noticed any disparity in market bias when trading currency.
     
    #16     Jun 11, 2017
    murray t turtle and Chris Mac like this.
  7. lindq

    lindq

    Once you get caught in a rush to cover shorts, you'll learn the hard way that there is indeed such a thing as panic buying.
     
    #17     Jun 11, 2017
    Overnight and murray t turtle like this.
  8. Jdesey

    Jdesey

    I understand the short squeeze but Only a fraction of the volume in the equity markets are shorts. Especially when we're talking anout retail investors. Blows my mind how many today's to make money when things go down. I had a thirty minute conversation with a friend of mine today trying to explain how a short works and he still didn't get it.
     
    Last edited: Jun 11, 2017
    #18     Jun 11, 2017
  9. Only in bull markets
     
    #19     Jun 11, 2017
    murray t turtle likes this.
  10. neke

    neke

    When you realise that 2010 to 2016 has been a tremendous bull-run, to see the number of big decliners outpacing big runners makes my point.

    Now based on hard-data based on my premise (avoid big moves that are just dead-cat bounces from prior sell-offs, or sell-offs following prior run - no new 3-month price level record being set), I went back ten years ago (June 2007 till date on the SPY), and here are moves meeting my definition. Only two run-ups, and 22 declines

    Run-ups

    Date Fractional rally
    04/05/09 0.03402
    27/10/11 0.034835

    Decliners

    Date Fractional decline
    15/09/08 -0.04759
    17/09/08 -0.04496
    29/09/08 -0.07836
    06/10/08 -0.05093
    07/10/08 -0.04479
    09/10/08 -0.06984
    24/10/08 -0.05071
    27/10/08 -0.0355
    19/11/08 -0.06408
    20/11/08 -0.07423
    23/02/09 -0.03578
    02/03/09 -0.04504
    05/03/09 -0.04085
    04/02/10 -0.03087
    20/05/10 -0.03776
    04/06/10 -0.03514
    29/06/10 -0.03088
    04/08/11 -0.04684
    08/08/11 -0.06512
    21/08/15 -0.03108
    24/08/15 -0.04114
    24/06/16 -0.03643
     
    #20     Jun 11, 2017