they do go short. In uptrending markets there is an exhaustion
short (but it's very difficult to trigger) that name should be self
explanatory what it means - you have to be above the 8 SMA for
something like 25 consecutive days along with over overbought
indicators, it's very hard to trigger. There's also the 60
Stochastic short - which occurs when the 60 Stochastic has been
trending above 80% and falls below 80% and kiss the underside of
80% and crosses down - see attached image for an example.
the other shorts are reversion to mean meaning, in a down
trending environment they short overbought rallies. If we go into a
bear market or a very choppy 2022 we may start seeing those
they do go short. In
I know we are on an uptrend market, but why ...
Posted by matt on 14th of Dec 2021 at 01:50 pm
they do go short. In uptrending markets there is an exhaustion short (but it's very difficult to trigger) that name should be self explanatory what it means - you have to be above the 8 SMA for something like 25 consecutive days along with over overbought indicators, it's very hard to trigger. There's also the 60 Stochastic short - which occurs when the 60 Stochastic has been trending above 80% and falls below 80% and kiss the underside of 80% and crosses down - see attached image for an example.
the other shorts are reversion to mean meaning, in a down trending environment they short overbought rallies. If we go into a bear market or a very choppy 2022 we may start seeing those
here's examples of exhaustion shorts
Posted by matt on 14th of Dec 2021 at 01:53 pm
here's examples of exhaustion shorts - again those and the 60 Stochastic can't trigger at this time.
https://breakpointtrades.com/blog/post/334033/
here's that link showing some
Posted by matt on 14th of Dec 2021 at 01:58 pm
here's that link showing some past exhaustion shorts - I had the wrong URL below but corrected it
https://breakpointtrades.com/blog/post/334033/