It’s looking more and more likely that we’re heading into a long and ugly global recession (if we’re not already in one), and trading and investing in this environment will be a whole nother ball game.
So, how can we as traders and investors navigate such an unprecedented environment to come out on top? - That’s the million-dollar question (quite literally).
I think we’ll need to be more creative in our strategies and think outside the box. Because for more than a decade now, the markets have literally been up only:S&P 500 $SPX - Each Candlestick is 1-Year
It's funny, many of us here on wallstreetbets have only known up only markets. There’s a whole generation of traders and investors who have only lived through and experienced this secular bull market we’ve been in.
So in this new regime that we’re potentially headed in, the opportunities will not be bountiful - they will be few and far between. It will be a different ball game.
BUT that’s not to say there won’t be any opportunities. There will be some, there always is. And I think I know the right strategy to identify them early, and when to exit them too.
What’s the strategy? - “Social Information Arbitrage” - A trading and investing strategy that leverages trending topics, social media discussions, and everyday culture to profit in the stock market.
It involves the identification of insightful trends and price-impacting information using various social media platforms (i.e. Twitter, Reddit, Facebook, Linkedin, Medium, Google Trends, Forums, etc.), and exploits that information before the market factors it in thoroughly.
Does this strategy really work?
Yesterday volume was increasing. Probably it's the right time for the pop before the split. They are planning a 1:50-1:150 reverse split. Now the float is only 47 mln. Today could be the right time to confirm the reversal. Let's see what happens today but I'm waiting in the coming days a typical pop before every R/S. Meeting is on 13th October. Not financial advice.
Good morning traders, get ready for a wild day ahead. I have said we were going to have a bullish move on Friday but I haven't felt the fear. It's been too orderly not enough panic and fear. The Vix has not reached the levels it should have and the backwardation is still big. The Vvix is back and forth over the duck and cover line (110 is a level on the Vvix that mean it's serious). I know that the weekly outlook was bullish above the 367.95 with a possible retrace back up toward 379 but this does not feel right. We are due a big bear market rally but we are playing on the edge of extremes and something people seem to never remember is markets usually crash from the edge of extremes when people think it's time to bounce. All I can say is stay on your toes. Another thing to pay attention too is we have not really done anything too serious; we had a market makers expected move of 12.49 on the spy and it is the last day of the week and we still have and expected move of half of that for just today. I know I said we would have a big bullish day today but it's not going to be square away bullish. We have one of the largest order imbalances I have seen for the year so however things start it could go that way for a while because of the imbalance. We also have a premarket report that would normally not be a market mover but anything can be used as an excuse to reverse lower on the morning. Another thing to be concerned about is due to the currency manipulation to fight against the U.S dollar, the dollar may no longer be an indicator of fear right now. Instead, Bonds could start to be the place money runs to for safety. Last of all it’s the end of the month and usually performance chasing fund manager are buying thing that look good to fake the funk on statements but in a bear market there may be more selling of things to get them off the books, so that could add to the point of making it a rough day.
Key levels to watch for ... Resistance (jack)364-365, (queen)366-370 and (king)371-379 area. Support (jack)361-360(queen)359-357 and (King)356-350. The main thesis is Bullish bias closing above 362.79 with a projected target/high of between 364-379. Alt thesis is Bearish bias closing below 362.79 with a projected target/low of between 361-350. The current major channel we are in is 364-353, the major channel below is 353 down to 342. Continue to be on Apple watch and try to use the 4-hour chart on the spy for major decisions. I usually give Scenarios for the day, but I only see two options today:
Scenario 1, we get fall out and go into consolidation early.it may take some time for the consolidation and order flow to catch up but once it does, we blast off like a rocket.
Scenario 2, we fall out a bit start to consolidate and move higher but instead of a midday chop we get a midday drop that could take us to new lows on the year with a sharp V bottom shortly after taking us back to or close to where we started and possible a little higher.
$APRN is trending today. Pay attention to following facts:
- 0 shares remaining to short.
- It's number one in Fintel Gamma Squeeze List today.
- Mitchell Cohen got appointed as CFO. So, there's buyout hype.
- 72% SI
- JosephNSanberg who tweeted few months back if he should take the company private, owns 51% of the company.
- $134 million in cash.
- Will Meade who predicted $BBBY squeeze, has tweeted $APRN to be the next BBBY.
Public companies that are fighting short sellers have a new method for pushing back on shorts:
Jupiter Wellness (JUPW) is doing the same and just announced it.