Market Recap-Rally lacks volumezzzz
We hinted about the rally on Friday evening, “Yes, it was an interesting session today, but the move up earlier today was probably telling us to cover the shorts. Despite our bearishness, we believe the market is reaching levels where the reward of shorting further is limited.”. Friday’s candle was a very nice reversal candle, telling all the new smart shorts to look out for the upside, and upside we got. Our only recap commentary today is actually the low volumes theme. A rally in panic with low volumes, will only produce more volatility and not a sustainable reversal to form a base. This is what HFT dominated market produces, frustrated hedgers, chasing their tails. Volume Chart of the Global Squeeze below. Not very impressive.