EWQ , Observations , Short holdings at 64% ( France ETF )
Still theme of increasing shorts as price accelerates . If we see EWQ breakout above its bear channel what will happen will shorts continue to increase even then ? This is bullish for me and the Dow net short positions are also up one percent at time of writing .
A breakout above channel will probably force a lot of these shorts to cover but better yet would be that we continue to see the trend of increasing net short status into early signs of strength .
We need the shorts imo , they could help to push up the market in a super charge event . German fund , EWG, has actually already broken out of its bear channel to upside and is net short today at 55% .
We are lacking S&P being though , its net long at 56% so some divergence there , would love to see everything net short .
Go shorts keep it up ;) 🐻
One last thing the net short / net long situation changes by the minute so keep that in mind when you are reading this . Good to keep an updated picture and do your own assessment .This is a new tool I'm working at developing for myself and incorporating into my trading habits so unfortunately I do not have the stats for the prior periods of net short vs net long status . In the future I am going to try to pay more attention to this and male more notes on a separate TV layout to track various funds positioning trends . I think it needs to be used with price action to get the most out of it too . Just because something's net short obviously doesn't make it bullish and vice versa .
