We should be careful about underestimating the buying power of bears caught in the ringer, especially after yesterday. My hunch is that ‘everyone’ hates the market at these levels, and that’s reason enough to stay out of their way when they are diving for cover. Let me also mention that yesterday’s trampoline bounce came from just above a Hidden Pivot target we’d been using, demonstrating that no short squeeze worthy of the name is likely to catch us with our pants down. Indeed, it is impossible for a significant reversal to occur without telegraphing it on the one-minute chart. Stay focused on the lesser charts, especially when this vehicle is approaching an important target, and you have nothing to fear.
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“The usual talking heads were attributing Wednesday’s V-shaped recovery to firming oil prices” – I am so glad I do not pay attention to the financial media, for those that do not know yet, if you watch them for information then that is the equivalency of watching the kardashains or other trash tv for trading/investing advice.
Watch price/volume/open interest because market action is caused by overleveraged people committing suicide by flipping stops into market orders when they are caught in a bad spot. :/