Monday, January 27, 2014

DBS - Influx of Short Covering

Last week one of my student shorted DBS. He shorted on 22nd Jan 2014 and on Jan 25th Jan 2014 which was a Saturday way before any futures or market was opened, I gave him my outlook that today is a good day to book profits for his DBS shorts.

This morning DBS gap down, however he already managed to secure his profits early in the morning and avert reactions where DBS rebounded to a high of $16.59 from $16.34. Now the question was why is it today that DBS will rebound and not 2-3 days back? How did I know on 25th Jan 2014 way before any market opened that it's good to book profits today where short covering would appear as speculated at 8:59am this morning? I will speak more this week. Stay tune. Congrats and very very good job on the 2-3 swing trade with DBS.

Ronald K - Market Psychologist - The Big Speculator