A = 360 pips = C... ominous IMO . The secondary selloff could terminate at or near first selloff bottom ~2190; or dig a little deeper, or form a higher low, but it is coming IMO .
The WXYXZ recovery pattern after a shock has been present in most crashes.
Significantly, another bounce following this pattern may provoke further Bear Behavior, as the true lows in '29/30 and '08/09 came after the pattern completed.
V-shaped recovery is not likely IMHO. Trade at your own risk; this isn't investment advice.
IMO the short squeezing is just about over and without it, prices won't be forced much higher. Nigam Arora has a nice blog on this, worth a look:
Hedged with short calls at otm strikes Apr $17, May $18, Jun $20.
Took a flier on TECS, for $4 it trades like an option now, lol. Won't expire but it decays fast.
Accumulating GE for ~$7 in restructuring; downside looks to be ~$6. Short Jun $8 calls.
Not chasing FAANGs either, NFLX hit ATH today, incredible. With everyone staying home, subscribers hit records, usage boomed, lol. The bullishness in tech suggests we get a final melt-up.
IMO this may be the blowoff top at end of rally, there's too much economic damage to just V-chart all the way back to ATH IMO.
CV19 vaccine is at least 20 months away, chloroquine was proven ineffective this week as I expected (totally wrong rx mechanism for a virus, it's amtimalarial); Gilead's Remdesivir may relieve severity but is by no means gonna be curative therapy, CV19 is a SARS family virus, this drug had 'some activity' against SARS as well. No magic bullets here I'm afraid. Optimism over these news items is way overdone. Going overbought here; look for oversold soon.
Expect another EOD short squeeze.
Holding nothing over weekend; GL!
Rolled into USO today; amazing, May oil contracts traded for $0 today ffs...!
l CLOSED USO; this is wayyy too risky IMO, the Russkis and Saudis are manipulating prices and will continue to do so to crush US markets. It is a vicious attack on US trade in an election year. Do not expect oil futurz to pop anytime soon, rival powers are driving prices down for spite.
I charted this rally as an ABC, but 'C' grew longer and looks like a Third of Five now.