Fascinating tape. The past week unchecked populism made heavily shorted stock soar — because some people online colluded together to inflict damage unto big finance. The idea that these people could win is equal to thinking QANON was going to overthrow the US govt.
Listen to me now: the high probability trade is to always bet on status quo. If you are still long the heavily shorted stock trade — sell them now. I say this in order to protect you from further damage.
This is like David vs Goliath — true. But they took David’s slingshot away and Goliath is going to stomp him out into dust.
The past week SAAS stocks and ordinary growth names underperformed because funds liquidated ordinary stocks to defend their shorts. Now the opposite is occurring. Therefore, if we are reading the tea leaves correctly, get long SAAS and other big cap growth and avoid the big short plays. If you’re looking for speculation, look towards gold, silver and cryptos. The crypto derivative plays like BTBT, CAN, and EQOS are soaring and I would not be surprised to see BTC-ETH rip higher, as people become disgusted by the financial censorship, as big finance dictates the direction of the market via force.If you enjoy the content at iBankCoin, please follow us on Twitter