Wednesday, May 26, 2010
It's about time to cover shorts
It's time to cover short positions. The VIX is receding, should be heading lower of 30s, generally kind to stocks.
The market tested Dow around 9700 yesterday and losing steam. One of the beaten down stocks like Goldman Sachs was turning positive while the rest of the stocks took a beating.
Over in KLSE, one of the put warrants, FBMKLCI-HA, refused to move up. This suggest not many "smart" people willing to bet on the downside despite of it broken down below 1,250. The strike price is 1,148.