50-point drop is a probablistic event. It has to be weighed against the risk associated. In Zeev's analysis, exiting an position early only entails opportunity cost, because he only goes long in his IRA account. Your pay-off matrix would be entirely different if you go short on those probablistic expectations, especially considering that your average trade duration is 24 hours or more. This early in a rally, long-lasting retrenchment is highly unlikely. I'm reluctant even to hedge the naked puts I wrote, much less starting shorts.
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