ETF Trading with Larry Connors: How to Short Squeeze a Market 101
Yesterday saw the short squeeze we’ve been discussing the past few days and it was done right by the book: the week of an upcoming holiday along with very low volume (lack of sellers to offset the buy programs). They could easily keep this going another few days, especially with the last two days of the month upon us. A few more percentage points higher and the month no longer looks too bad for fund managers. Classic.
The market is overbought with the 2-period RSI of our Country Fund ETF Universe at 89.92. Normally I’d expect today to be a pause day/lower day but because of the factors above, the chances of a continued upward move increase.
The above is from Larry Connors’ Daily Battle Plan.
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Larry Connors is founder and CEO of TradingMarkets.com.