lowtrade

[lowtrade]

Trade what you want, not what's in front of you.

In the last video I put CPST on watch and expected a retrace, before continuation. At least that's what I wanted, because of strong shorts. A strong short position is when 10% or more of the float is short. CPST had 14.3%. I didn't buy Mondays continuation, even though it did break the 1.40 resistance.

WHY

Because I don't buy day 6, (it's one of my trading rules) which becomes an over extended run. That's why I wanted a retrace then continuation. This is a sentiment thing. So I didn't play what was in front of me. But did move from weekly watch to strong watch.

Here's what I feel just happened with CPST.

When it gapped up at open and finished lower then the day before. It told me, the shorts didn't wait and started moving out first thing Monday. Day 7 same thing and today same thing. We're seeing the short squeeze in a series of black gap candles as the shorts take control of the price action. Holding back strong continuation of an over extended move, while exiting their short positions.