In my trading, I like to use NASDAQ or S&P 500 as a gauge for the market sentiments and then adjust the proportion of my long positions and short positions. So it was logical to have 80-90% shorts in todays market because that was the path of the least resistance. But was it easy to short because the market dropped hard today? I do not think so.
Let’s take a look at SPY, a proxy for S&P 500. It gaped down and stayed flat there for the entire day. This behavior made the stocks that I was watching very whippy. As I mentioned, whipsaws are my biggest enemy. So I took only one short position (BTU) today, which was not very successful.
Click on the images to have a better view
SPY
And some other stocks I watched
MEE
ASH
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