Cluster of frustrated short sellers there
We shall see
This is actually a concern. 41% of daily volumes take place toward the last 5 minutes of the trading day. This dries up liquidity and create weird patterns during the day. Price discovery is less efficient in many cases in my opinion. Algos follow last minute execution. Costs are supposedly reduced thanks to some tweaks but this probably leads to some imbalance in...
It won't be easy but they are currently killing many former strategies. Adapt and evolve.
This has been a new norm for momentum targets and some patterns. Flags keep overextending all the time though, so pay attention to weird handle patterns such as in overextended Cup and Handles, and potential Inverted Head and Shoulders. When this game of greed and short squeeze ceases, QE or not it will be down extremely atrociously in my humble opinion.
Do the opposite of what you think "initially", that has been the new normal. When invalidated, the algos will confirm your thoughts and trend that way. Currently it's always short squeezing, but the elastic was been extended way too much in my humble opinion. They create the impression that there are price discoveries all the time at the top ...
You can clearly see the difference in terms of relative strength. The market is easy manipulable ... the algos in pattern recognition are squeezing shorts by creating and following previous patterns that are in "vogue" (Inverted IH&S), sort of bullish flag that are in fact a hidden handle in a Cup and Handle pattern and so forth. Pay attention to the...
Will need confirmation next week.
Let the algo play it out. Let the algos do the o p p o s i t e of what it written
Testing contrarian approaches for a month. Let the algo play it!