This is a time when charts are working well for bullish outcomes but for bearish ones? Not so much. Exhibit A is one in the remote work/communications patch, which was a favorite theme of mine during and coming out of the crash.
More recently I was watching PLAN as a potential short per the red shaded zone. It looked disgusting, actually. I decided to leave it alone.
Then last weekend NFTRH 617 noted…
“The red shaded zone shows where I thought PLAN was a short. I thankfully did nothing about it, but now this remote work stock may be going bullish. On casual watch.”
Err, I wish it was not casual because I never bought it. But the point for this post is that it was butt ugly and looked short-able, but in Powell’s bubble there is no such thing as bearish. Boom, +23% today and the whole remote/SaaS/Cloud software group is following PLAN’s lead.
So anyway, I saw the chart of Energy SPDR XLE and thought ‘hmm, look at this disgusting thing, maybe I’ll short it against a portfolio of longs’ (other than a Euro short). Then I thought of ole’ PLAN above, I thought of Trump pumping and Powell printing and well, I just left it alone. But Energy, as it stands now, looks gross.