22Feb10:04 amEST

Get in, Sugar: We're Squeezing America Back

On the back of this morning's Bitcoin/Nasdaq led gap lower, it is hard not to notice that the WallStreetBets plays are green and threatening to turn back higher after several weeks of unwinding the gamma squeeze which morphed into international news overnight and spawned a Congressional hearing last week. 

Specifically, AMC and GME are popping off the open, though it remains to be seen if they can sustain gains which, we know, has been a major issue for most of February. 

But besides those two prominent WSB names, there is also the silver miner, AG, a heavily-shorted name which captured the hearts and minds of the Reddit forum where they sought an elusive silver squeeze. As we know, squeezing the silver market is a much different beast than, say, GME. 

The good news is that the silver metal and AG have not seen their technical health suffer despite the pop-and-drop at the beginning of this month. In fact, that sort of action may wind up being uniquely bullish as it sets the stage for a more durable breakout. Clearly, silver has been outpacing gold, perhaps due to its industrial utility or maybe just because of its outright value at these levels.  Either way, AG is a name I remain long with Members and I am looking to branch out to other silver miners setting up nicely, such as PAAS (below, daily timeframe). 

Overall, the WallStreetBets plays trading inversely to the market is something we saw around this time last month and caused near-term liquidity concerns. I am watching TSLA versus its $760 level here for clues. However, with dip-buyers giving the market a shot as I write this, the onus is still on bears to force the issue for further downside. 

Weekend Overview and Analysi... Stock Market Recap 02/22/21 ...


This website is intended for educational purposes only. | © 2021 MarketChess.com | All Rights Reserved | Website design by Saco Design | Superpowered by Site Avenger

mobile site | full site